Flipkart employees get PhonePe Esop payout

livemint.com:

Flipkart said it has paid out the value of employee stock options in PhonePe to its eligible employees, marking the culmination of a process that began with the separation of the two entities in December. The company declined to provide details of the sum paid out or the employees who will benefit, however, the payout was estimated to be in excess of $700 million.

According to an email seen by Mint, the stock options were priced at $43.67 apiece. The payment was made to the employees on Friday, a Flipkart spokesperson confirmed.

“As you know, the Board of Directors (BoD) of Flipkart Private Limited announced the complete separation of the PhonePe business by selling off its entire shareholding in December 2022. With this development, the BoD had decided to pay $43.67 as compensation for each ESOP (vested options for eligible current and former stakeholders and unvested options only for eligible current stakeholders) as of the record date of December 23, 2022.," an email sent to Flipkart employees on Friday said.

Flipkart said in December 2022 that it will make “a one-time discretionary payout" to employees, following the separation of PhonePe from Flipkart. The compensation was equivalent to the value derived from PhonePe in Flipkart shares.