Under the TRACXN Employee Stock Option Plan (ESOP) 2016, 133,523 stock options were distributed to workers of Tracxn, a prominent market intelligence platform. The decision is in line with the company’s strategy to attract and keep the best employees.
Approval and Grant Details
The Nomination and Remuneration Committee of Tracxn approved the stock option allocation in a circular decision on March 4, 2025. All stock options, when exercised, will become fully paid-up shares of the company’s equity, each with a face value of Re 1. These stock options have an exercise price of one share, or Re 1.
Vesting and Employee Benefits
Stock options awarded to eligible workers have a five-year window from the date of vesting to exercise them. The exercised shares will be treated equally with the existing equity shares, meaning that both will have the same rights and benefits. A greater sense of ownership and engagement in the company’s future success is one of the goals of the program.
Compliance with SEBI Regulations
According to Tracxn, the stock option grants comply with the share-based employee benefits and sweat equity (SEBI) regulations of 2021. In the event of a business activity such as a rights issue, bonus issue, merger, or division sale, the ESOP 2016 plan accounts for the appropriate adjustments.
No immediate EPS impact.
Tracxn has made it clear that its diluted earnings per share (EPS) will not be affected immediately by the allotment, even if it increases the possibility of share dilution. The number of options exercised in the future will determine the real effect on the capital structure of the organization.
These stock options encourage employees to stay with Tracxn for the long term and contribute to its success by giving them a financial stake in the company.
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