‘Saluja’s Care Esops adhere to all rules’
MUMBAI : Religare Enterprises Ltd’s (REL) board on Monday refuted the allegations against its chairperson Rashmi Saluja asserting that granting of the employee stock options (Esops) from REL’s subsidiary Care Health Insurance Ltd, complied with the regulations of the insurance watchdog. The Burman family, which seeks to take over REL via an open offer, claimed last week that Saluja’s annual remuneration of ₹150 crore is excessive. The open offer was announced on 25 September.
They also alleged that Saluja was unfairly awarded Esops valued at ₹250 crore, despite the Insurance Regulatory and Development Authority of India rejecting Care Health’s Esops proposal for her. Proxy advisory firm InGovern in a report last week said REL failed to disclose that 22.7 million Esops, worth 2.5% of Care’s capital was granted to Saluja in 2022 at a “deep discount". However, REL said in a filing that Care has an Esops pool of 12.5% of equity for employees and another 2.5% specifically meant for employees of the Religare Group in recognition of their contribution to Care Health’s growth.“Esops granted to Dr.
Saluja were in full compliance with the company’s Esop scheme, adhering to the guidelines set by the Irdai," it said. The price per option was ₹45.32 per share. According to the terms, out of 22.7 million Esops, 33.33% options would vest upon one year from the date of grant, said REL.
Besides, two years from the date of grant and two years from the vesting commencement date an additional 33.33% options will be vested. Subsequently, after five years from the date of the grant or upon listing of Care’s shares, the remaining 33.34% options would be vested, said REL. REL denied Burman family’s assertion that Saluja had receives an
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