Fintech MobiKwik reserves 7 per cent of its equity for employee stock options
MobiKwik has reserved 4.5 million shares or 7 per cent of its equity for its employee stock options plans (Esop) for its impending public listing on Tuesday.
MobiKwik said that its Esop programme is meant to “attract, retain and reward deserving employees in a competitive talent market.”
Employee stock options give employees the right to buy the company’s stock at a specified price for a finite period.
MobiKwik was founded by Bipin Preet Singh and Upasana Taku in April 2009 in Gurgaon. It provides a mobile phone-based payment system and digital wallet. In the last fundraise in July it got $20 million from Abu Dhabi Investment Authority (ADIA) at a valuation of ₹895.80 a share and valued MobiKwik at $720 million.
The firm aims to raise ₹1,900 crores in its IPO, scheduled for later this year. According to its Draft Red Herring Prospectus (DRHP), MobiKwik aims to raise ₹1,500 crores through a primary share sale. Its investors include Sequoia Capital India, Bajaj Finance, American Express, Cisco and Abu Dhabi Investment Authority.
Based on the new valuation, the startup claims that seven of its employees have stock options worth more than ₹ 10 crores and 31 have more than ₹ 1 crore each. It also said that 118 employees, or one-fourth of the total, have seen their stock options cross ₹ 10 lakh in value.
“Over the past decade, MobiKwik has grown on the strength of its employees to become a leading fintech player in India,” said Upasana Taku, chairperson, cofounder and chief operating officer, MobiKwik. She added, “As we cement our presence and leadership further, we want to acknowledge and reward our employees for their efforts.”
Stock options are popular with new-age companies and they use them to attract talent. Over the past few months, demand for employee stock options has risen with the valuation of startups.
MobiKwik said that its Esop programme is meant to “attract, retain and reward deserving employees in a competitive talent market.”
Employee stock options give employees the right to buy the company’s stock at a specified price for a finite period.
MobiKwik was founded by Bipin Preet Singh and Upasana Taku in April 2009 in Gurgaon. It provides a mobile phone-based payment system and digital wallet. In the last fundraise in July it got $20 million from Abu Dhabi Investment Authority (ADIA) at a valuation of ₹895.80 a share and valued MobiKwik at $720 million.
The firm aims to raise ₹1,900 crores in its IPO, scheduled for later this year. According to its Draft Red Herring Prospectus (DRHP), MobiKwik aims to raise ₹1,500 crores through a primary share sale. Its investors include Sequoia Capital India, Bajaj Finance, American Express, Cisco and Abu Dhabi Investment Authority.
Based on the new valuation, the startup claims that seven of its employees have stock options worth more than ₹ 10 crores and 31 have more than ₹ 1 crore each. It also said that 118 employees, or one-fourth of the total, have seen their stock options cross ₹ 10 lakh in value.
“Over the past decade, MobiKwik has grown on the strength of its employees to become a leading fintech player in India,” said Upasana Taku, chairperson, cofounder and chief operating officer, MobiKwik. She added, “As we cement our presence and leadership further, we want to acknowledge and reward our employees for their efforts.”
Stock options are popular with new-age companies and they use them to attract talent. Over the past few months, demand for employee stock options has risen with the valuation of startups.
