Best printers for Home

Best Mixer Grinder

Best wired Earphones

Best 43 Inch TV in India

Best Wi Fi Routers

Best Home Theatre in India

Smart Watch under 5000

Best Laptops for Education

Best Laptop for Students

<ul><li>In case of listed companies where the market value of the share is lower than the predetermined price in <keyword id="120103" type="General" weightage="80" keywordseo="esop" source="Orion">ESOP</keyword>, the employee should not exercise the option.</li><li>It is crucial to consider the company's financial health and growth prospects when assessing the worth of ESOPs.</li><li>You can sell a portion of the shares obtained through exercising your ESOPs right away to cover the costs associated with exercising, including any taxes owed.</li></ul>A few days ago, Infosys offered 5.11 lakh shares to its employees under Employee Stock Ownership Plans (ESOPs). ESOPs are extensively employed by corporations worldwide to incentivize employees to become stakeholders in the company. By offering employees the opportunity to own equity in the company, ESOPs aim to align their performance and dedication with the organization's success. In recent years, ESOPs have gained significant popularity, particularly among startups, as an effective tool for attracting and retaining top talent. Startups leverage ESOPs to not only reward employees but also to create a sense of ownership and motivation, driving their commitment and contribution to the company's growth.We take a look at what you need to keep in mind when exercising your stock options. “Under ESOP, employers grant options to its employees which are exercisable against company’s shares at future date, on fulfillment of defined vesting conditions. For this purpose, the employee pays the exercise price (set as zero or less than fair market value (FMV)) at the time of exercise of shares in future. Therefore, no upfront costs are associated with ESOPs at the time of grant,” says Akhil Chandna, Partner, Tax, <keyword id="10410446" type="General" weightage="50" keywordseo="grant-thornton-bharat" source="Orion">Grant Thornton Bharat</keyword>, a professional services firm. <cmsannotation type="cmsannotation" annotationid="Understanding exercise options" comment="subhead" text="Understanding exercise options">Understanding exercise options</cmsannotation> “Most reputed companies have a vesting period of four years, with 25% of the ESOPs becoming eligible for exercise each year after the initial one-year cliff. This means that after the first year, employees can exercise 25% of their ESOPs and subsequently exercise 25% over the following three years on a monthly pro-rata basis,” says Ajinkya Kulkarni, Co-Founder, and CEO, <keyword id="12504599" type="General" weightage="50" keywordseo="wint-wealth" source="Orion">Wint Wealth</keyword>, an online investment platform focussed on fixed income products. There are two common types of approaches when it comes to exercise prices. The first approach sets the exercise price as the face value of the shares. Thus it is significantly cheaper for employees to purchase the shares. The second approach involves the employee paying the market value of the shares at the time of exercising the option, where the exercise price would be higher. Employee-friendly companies may offer an exercise period of up to 10 years after the employee leaves the organization, providing greater liquidity opportunities for employees. “A sufficient exercise window is crucial since the notional gains from exercising an option are immediately taxable for employees, even though the actual wealth is realized upon liquidation of the shares,” says Kulkarni. <cmsannotation type="cmsannotation" annotationid="What to keep in mind when exercising options" comment="subhead" text="What to keep in mind when exercising options">What to keep in mind when exercising options</cmsannotation> When exercising an option see if there is a condition that the option will lapse if you do not exercise. “Then you should exercise. But if there is an option that it will be carried forward, there is no need to exercise immediately,” says <keyword id="5754055" type="General" weightage="50" keywordseo="bm-singh" source="Orion">BM Singh</keyword>, ESOP Expert &amp; Managing Partner, BMSA Consultancy. The actual value of ESOPs in a company is closely tied to its future performance and market valuations. Even if ESOPs hold a significant monetary value on paper, if the company's performance is poor, their true benefits may be limited. It is crucial to consider the company's financial health and growth prospects when assessing the worth of ESOPs. Ultimately, ESOPs are most advantageous when granted by companies with strong performance and promising future prospects.Therefore, employees should conduct thorough background research before accepting an offer that includes a substantial ESOP component. Chandna says that in the case of listed companies where the market value of the share is lower than the predetermined price in ESOP, the employee should not exercise the option. For unlisted companies, the employee should also research the company’s buyback track record during the vesting period and whether the company will raise capital through a funding round etc, to know the exit possibilities. <cmsannotation type="cmsannotation" annotationid="Tax implications at the time of exercise" comment="subhead" text="Tax implications at the time of exercise">Tax implications at the time of exercise</cmsannotation> Taxability of ESOPs first occurs at the time of exercising the options, where the perquisite value of the ESOPs is deemed taxable under the category of 'salary' in the hands of the employees. When employees exercise their ESOPs, the difference between the fair market value of the shares at the time of exercise and the exercise price is treated as a taxable perquisite. This value is added to the employee's salary and subject to applicable income tax regulations. “Please note that the taxable value of perquisite would be computed basis the date of exercise of options /units, however, the same would be taxable in the year in which shares are actually allotted/ transferred to the employees,” says Chandna. <table style="border-width: initial; border-style: none;" class="redcator-table-advance"></colgroup><tbody><tr><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;background-color:#ffffff;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">Name of employee </td><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;background-color:#ffffff;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">A </td></tr><tr><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;background-color:#ffffff;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">Grant date of ESOP </td><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;background-color:#ffffff;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">1 April 2023 </td></tr><tr><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;background-color:#ffffff;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">Vesting date of ESOP </td><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;background-color:#ffffff;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">1 April 2024, 1 April 2025 (50% at each date) </td></tr><tr><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;background-color:#ffffff;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">Exercise date of ESOP/date of allotment of shares </td><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;background-color:#ffffff;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">1 April 2026 </td></tr><tr><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;background-color:#ffffff;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">FMV as on Exercise date i.e. 1 April 2026 </td><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;background-color:#ffffff;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">₹1,000 </td></tr><tr><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;background-color:#ffffff;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">Exercise price </td><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;background-color:#ffffff;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">₹100 </td></tr></tbody><tbody></tbody><tbody></tbody></table> In the above illustration, the taxability would arise in the hands of Mr. A on exercise date i.e. 1 April 2026 (FY 2026-27). The taxable value would be ₹900 (i.e. ₹1000 as reduced by ₹00) on 1 share. Source: <keyword id="131240" type="General" weightage="80" keywordseo="grant-thornton" source="Orion">Grant Thornton</keyword> <cmsannotation type="cmsannotation" annotationid="How to minimize out of pocket expenses when exercising ESOPs" comment="subhead" text="How to minimize out of pocket expenses when exercising ESOPs">How to minimize out of pocket expenses when exercising ESOPs</cmsannotation> “To minimize the duration between tax obligations on notional gains and the actual gains, it is advisable to exercise ESOPs closer to liquidity events,” says Kulkarni. You can sell a portion of the shares obtained through exercising your ESOPs right away. The proceeds from the sale can be used to cover the costs associated with exercising, including any taxes owed. This strategy effectively lowers your out-of-pocket expenses by utilizing the funds generated from selling the shares. “Let us say that you are entitled to exercise 50 shares. If you get a chance to sell 10 shares in the secondary market, then you can sell the shares and cover the expenses from the proceeds,” says Singh. By creating a budget and developing a financial plan, you can ensure that you have the necessary funds for exercising ESOPs while minimizing your out-of-pocket expenses. Through careful financial management, such as setting aside money in advance or reallocating your financial resources, you can mitigate the impact on your personal expenses when it comes time to exercise your ESOPs.

What you need to know when you exercise your stock option plan

<ul><li><keyword id="6357120" type="General" weightage="20" keywordseo="paytm" source="Orion">Paytm</keyword> has decided to double its employee stock option to provide more shares to its workforce.</li><li>Almost half of the recently expanded pool would go to <keyword id="198636" type="General" weightage="20" keywordseo="vijay-shekhar-sharma" source="Orion">Vijay Shekhar Sharma</keyword>, as per a source aware of the matter.</li><li>Sharma currently owns about 15% shareholdings in the company and new options will offer him an additional 2-3% shares.</li></ul>One97 Communication, the parent company of digital payment giant Paytm, has decided to double its employee stock option plan (ESOPs) pool in order to provide more shares to the employees working in the soon to be listed company. Paytm’s founder and chief executive officer <keyword id="914589" type="General" weightage="20" keywordseo="vijay-shekhar" source="Orion">Vijay Shekhar</keyword> Sharma has been allocated additional stock options as well, which will increase his shareholdings by another 2-3%, as per a source aware of the development. Notably, Sharma currently owns about 15% shareholdings in the company and is planning to sell a part of it in the upcoming initial public offering (IPO). One 97 Communications, the parent company of Paytm, filed the <a href="https://www.businessinsider.in/business/news/paytm-has-filed-for-2-2-billion-ipo/articleshow/84465551.cms">preliminary papers </a>for its ₹16,600 crore ($2.2 billion) IPO in July 2021. According to multiple media reports, Paytm is seeking a $25 billion to $30 billion valuation post this public issue. The source also told Business Insider that this is the first time that Sharma has been allocated any ESOPs ever since the inception of the company. “Vijay, in the past, had given 4% of his equity before forming Paytm to the ESOP pool creation of the company. So technically till sometime, before now, people got their own shares as their esops,” the person added. Business Insider could not independently verify this claim. We have reached out to Paytm seeking an official clarification on the details of the ESOP pool. Meanwhile, an Economic Times<a href="https://economictimes.indiatimes.com/tech/startups/exclusive-vijay-shekhar-sharma-gets-new-stock-options-ahead-of-paytm-ipo/articleshow/86456719.cms"> report </a>noted that the company has almost doubled its ESOPs pool, from 240.9 million to 610.9 million with a face value of ₹1 each. Almost half of it has been allocated to Sharma, the report added citing an unnamed source. Sharma became the youngest billionaire in India with a<a href="https://www.businessinsider.in/business/startups/news/iron-man-vijay-shekhar-sharma-put-his-own-money-on-the-line-to-launch-paytm/articleshow/84468805.cms#:~:text=From%202011%20to%202017%2C%20within,at%20a%20whopping%20%242.3%20billion."> networth of $1.3 billion</a> within a span of six years, from 2011 to 2017. As of September 2021, his networth stands at a whopping $2.4 billion. The company has also formalised three appointments to its board of directors. This includes former chief business officer of WhatsApp Neeraj Arora and managing partner of Saama Capital Ashit Ranjit Lilani as non-executive independent director, and senior vice president at investor Ant Group Douglas Feagin as a director. SEE ALSO <a href="https://www.businessinsider.in/business/news/amazon-prime-video-channels-india-is-launched/articleshow/86472003.cms">Amazon enters the content distribution space in India, will allow customers to subscribe to more video streaming platforms</a> <a href="https://www.businessinsider.in/india/news/brace-for-higher-petrol-and-diesel-prices-as-crude-oil-prices-rise-to-a-3-year-high/articleshow/86471858.cms">Brace for higher LPG, petrol and diesel prices as crude oil prices rise to a 3-year high</a> <a href="https://www.businessinsider.in/business/corporates/news/tcs-infosys-wipro-and-hcl-tech-share-price-can-jump-after-accentures-blockbuster-earnings/articleshow/86471274.cms">TCS, Infosys and Wipro take a lot of heart from Accenture's blockbuster earnings</a>

Vijay Shekhar Sharma gets nearly half of new shares as Paytm doubles its ESOP pool ahead of IPO

<keyword id="6354512" type="CITY" weightage="100" keywordseo="Infosys">Infosys</keyword>, the Indian multinational corporation, has brought back its employee stock option plan (ESOP) for junior to middle level management staff, in a bid to control the rising attrition in the company. 
 
As per reports, the attrition rate stood at 21% in the first quarter of 2016. However, the company is not "unduly concerned" about this rising rate, which was 17.3% in the last quarter, prior to which it was 19.2%. 
 
Also read: <a href="http://www.businessinsider.in/Infosys-internal-platform-compass/articleshow/53005186.cms">Infosys to allow employees to switch job profiles using an internal platform</a> 
 
"Today, we relaunched our ESOP programme after a gap of 10-years plus, after about 13 years. We are rewarding about 7,500 of our employees from junior to middle level management with restricted stock options and we will extend it to middle management to senior leaders and title holders subsequently," <a href="http://www.businessinsider.in/Infosys-COO-cautions-investors-of-volatility-but-says-will-meet-revenue-guidance/articleshow/52668018.cms">Infosys COO </a>UB Pravin Rao said. 
 
He continued while saying that Infosys would maintain its focus on revamping the skills of its <a href="http://www.businessinsider.in/Infosys-employees-can-control-AC-temperatures-using-a-mobile-app/articleshow/52972236.cms">employees</a>, while also revamping its leadership development programmes for their benefit. 
 
As per Infosys tradition, ESOPs allow its employees to own equity in the company, providing a boost to their morale. 
 
Infosys, which employed 1,97,050 people by the end of June 2016, has added 13,268 (gross) and 3,006 (net) people in the 2016 Q1. 
 
However, he added that even though the <a href="http://www.businessinsider.in/Infosys-AI-plans-just-suffered-a-setback-due-to-exit-of-a-key-person/articleshow/53204845.cms">attrition levels have gone up</a>, Infosys has not let go of its "high performers". 
 
Also read: <a href="http://www.businessinsider.in/Infosys-to-offer-incentives-to-top-employees/articleshow/50992720.cms">After stock options, Infosys to offer incentives to attract and retain valued employees</a> 
 
"We are really encouraged, we also track high performers' attrition, which has come down. Earlier last quarter, it was 13.4% and this quarter, it has come down to 11.2%, so we are encouraged by that," he said. 
 
Rao added that even though Infosys will "watch out" for the rising rates, it is "not unduly concerned", since it lays its focus on employee experience and engagement. 
 
<a href="https://i.ytimg.com/vi/wz7R8fenYg4/maxresdefault.jpg">Image source</a>

Infosys relaunches employee stock option plan to control rising attrition rate

India's second largest software exporter <keyword id="6354512" type="CITY" weightage="100" keywordseo="Infosys">Infosys</keyword> was one of the first Indian companies that offered stocks to its employees and that too way back in the 90s. Now, the IT giant has thought of rolling out a new stock incentive plan for top and mid-level executives, so that top talent can be attracted and retained. 
 
Infosys COO Pravin Rao told ET that the company was in the process of finalising the new stock option plan and will be alloting 1 to 1.5% of the company's equity to create a stock pool for top executives. The approval of shareholders will be sought soon. 
 
Even though Infosys’s employee stock option plan (ESOP) had set new standards for employee benefits, it was discontinued in the early 2000s because the company was hiring thousands of employees every year at the peak of outsourcing boom. 
 
"Today if you look at global technology companies, especially at a senior level, stock compensation is very big element of their strategy. And at times, when we're trying to recruit some key people from outside, we run into a challenge since we've discontinued the options plan," said Rao. 
 
The new stock option plan will be restricted only to a small percentage of top and mid-level executives, and not for the complete 193,000-strong workforce.

After stock options, Infosys to offer incentives to attract and retain valued employees

<ul><li>Infosys recently gave away 50 million shares as <keyword id="81701" type="PERSON" weightage="20" keywordseo="stock-options">stock options</keyword>, accounting to 1.15% of its total shares, to a large base of employees. </li><li>This year, Infosys gave 6% salary hike to 85% of its employees. </li><li>Tata Consulting Services (TCS) gave 2-6% hike for 2019. </li></ul>IT companies have been running out of options to retain their talent. Neither are they unable to give double digit salary hikes, nor are they able to lure them in with<a href="https://economictimes.indiatimes.com/nri/visa-and-immigration/h-1b-extension-rejections-rob-indian-it-firms-of-visa-power/articleshow/68312136.cms"> overseas opportunities</a>--thanks to record high visa rejections. During these difficult times, the country’s second largest IT company, Infosys might just have another plan up its sleeve. It recently gave away 50 million shares as employee stock options (eSOPs), accounting to 1.15% of its total shares, to a large base of employees. “In the last 2-3 years salary hikes have not been very good. Added to that, the number of overseas opportunities have also been lower because of fewer H1B visa approvals. So a large stock option plan across a large share of employees is a good plan,” commented Mohandas Pai, the former CFO and HR head of the company, who is now a startup investor. This year, Infosys gave 6% salary hike to 85%<a href="https://www.business-standard.com/article/companies/infosys-to-roll-out-6-annual-hike-for-india-staff-1-5-for-onsite-workers-119041201335_1.html"> of its employees</a>. Its peer, Tata Consulting Services (TCS) did no better with 2-6% hike for the same year. Infosys has a high rate of attrition at a little over 20%, and Pai believes that the company has been losing their employees to large MNCs. As newer technologies are being adopted by companies and clients, it is imperative for IT majors to retain their digital talent. Yet, few have been able to provide good salary hikes. Better performance As per the carefully crafted stock options, Infosys employees won’t have to wait too long to get their hands on the moolah, if the company does well. Unlike most employee stock options which specify a vesting date, a date at which they can be traded and sold—this is performance linked. “It is a reflection of how important performance is in an environment of strong demand. Performance based eSOPs essentially help employees grow with the company. It also helps the company align costs with revenue,” says Harit Shah, IT analyst at Reliance Securities. If challenging performance criteria like total shareholder return against industry peers, increase in total revenue, digital revenue growth and operating margins are achieved, these stock options can be vested! This way Infosys won’t have to pay upfront wage hikes, explains Shah, and wait to reap benefits later on. As employees help shareholders build value, they can vest their shares at a time when their company is in the best of shape, bringing the double bonanza that IT professionals have been waiting for a long time. It is now left to see if other IT majors will replicate this model. See Also <a href="https://www.businessinsider.in/infosys-allots-50-million-shares-to-employees/articleshow/69371959.cms">Infosys’ 2019 employee bonanza: Here’s what you need to know</a>

Poor salary hikes and fewer H1-Bs may force tech cos like Infosys roll out stock options

Equity markets tumbled on Wednesday after a sharp rebound in the previous trade, with the <keyword id="6484188" type="General" weightage="100" keywordseo="sensex" source="Orion">Sensex</keyword> falling 496 points in early trade, tracking weak global trends. Unabated foreign fund outflows and selling in index majors Infosys and <keyword id="111876" type="General" weightage="80" keywordseo="bajaj-finance" source="Orion">Bajaj Finance</keyword> also played spoilsport. "The roller coaster ride in markets is set to continue in the near-term. With the 3.95 per cent sell-off yesterday (Tuesday), Nasdaq is now 23 per cent down from its record highs and, therefore, can be said to be in bear market territory. "The real worry for markets now is a possible sharp global slowdown triggered by the coming aggressive monetary tightening in the US, severe Covid-related lockdowns in China and woes in the Euro Zone caused by the Ukraine war," said V K Vijayakumar, Chief Investment Strategist at Geojit Financial Services. The 30-share BSE benchmark was trading 495.77 points lower at 56,860.84. The NSE <keyword id="6354813" type="General" weightage="80" keywordseo="nifty" source="Orion">Nifty</keyword> dipped 144.15 points to 17,056.65. From the 30-share Sensex pack, Bajaj Finance, Bajaj Finserv, UltraTech Cement, Infosys, M&amp;M, Wipro, Maruti and Titan were the major laggards in early trade. In contrast, <keyword id="45179" type="General" weightage="80" keywordseo="ntpc" source="Orion">NTPC</keyword>, <keyword id="6357147" type="General" weightage="80" keywordseo="tata-steel" source="Orion">Tata Steel</keyword>, <keyword id="6355199" type="General" weightage="80" keywordseo="reliance-industries" source="Orion">Reliance Industries</keyword>, <keyword id="44642" type="General" weightage="80" keywordseo="sun-pharma" source="Orion">Sun Pharma</keyword>, <keyword id="6368906" type="General" weightage="80" keywordseo="power-grid" source="Orion">Power Grid</keyword> and <keyword id="45123" type="General" weightage="80" keywordseo="hdfc" source="Orion">HDFC</keyword> were the gainers. Asian markets were trading on a mixed note in mid-session deals, with Tokyo and Seoul quoting over 1 per cent lower, while Hong Kong and Shanghai trading marginally higher. Stocks in the US had ended significantly lower on Tuesday. The Sensex jumped 776.72 points or 1.37 per cent to end at 57,356.61 on Tuesday. The Nifty rallied 246.85 points or 1.46 per cent to 17,200.80. Meanwhile, international oil benchmark Brent crude gained 0.5 per cent to USD 105.42 per barrel. Foreign institutional investors continued their selling spree, offloading shares worth Rs 1,174.05 crore on Tuesday, according to stock exchange data. SEE ALSO: <a target="_blank" class="c-link c-message_attachment__title_link" href="https://www.businessinsider.in/business/startups/news/meet-newrl-the-defi-startup-trying-to-make-it-easier-for-you-to-cash-in-on-your-lucrative-esops/articleshow/91102066.cms">Meet Newrl, the DeFi startup trying to make it easier for you to cash in on your lucrative ESOPs</a> <a target="_blank" class="c-link c-message_attachment__title_link" href="https://www.businessinsider.in/business/news/gautam-adani-is-now-as-wealthy-as-bill-gates/articleshow/91115934.cms">Gautam Adani is now as wealthy as Bill Gates – rally in Adani group companies makes him the fourth richest person in the world</a>

Sensex tanks by 496 points in morning trade; NTPC, Tata Steel, Reliance Industries, Sun Pharma, Power Grid and HDFC top five gainers among Nifty 50 stocks

<ul><li>The number of <keyword id="8154447" type="General" weightage="20" keywordseo="unicorns-in-India" source="Orion">unicorns in India</keyword> will increase from 122 to 200 in the next four years, according to Hurun report.</li><li><keyword id="3658" type="General" weightage="100" keywordseo="india" source="Orion">India</keyword> also saw 28.6% growth in funding value during the same time frame as compared to other countries like UK, US, and China.</li><li>Here are a few top deals, funds that were sealed in the month of June.</li></ul>Amidst the funding winter, India managed to create at least 14 unicorns this year – more than last year. This number is all set to increase from 122 to 200 in the next four years, as per a Hurun report. It looks like the prediction might come true as Indian <keyword id="6362513" type="General" weightage="20" keywordseo="startups" source="Orion">startups</keyword> raised $12.1 billion till April – via 672 venture capital deals amidst cost cuts and layoffs, according to a GlobalData report. India also saw 28.6% growth in funding value during the same time frame as compared to other countries like UK, US, and China, the report says. A similar growth was seen in May as well this year. A recent <a href="https://www.business-standard.com/article/specials/pe-vc-investments-in-may-rise-42-to-5-3-bn-dip-29-month-on-month-122061500468_1.html">report</a> by IVCA-EY said that the private equity and venture capital investments in May 2022 were at $5.3 billion, which is 42% higher than May 2021 – though the startup fund took a 12% hit in the month. But there is no dearth of mergers, acquisitions and buyouts, stake sales and more. Here are a few top deals, funds that were sealed in the month of June. 1. <keyword id="1518229" type="General" weightage="80" keywordseo="lenskart" source="Orion">Lenskart</keyword> acquires majority stake in Japanese eye-wear Owndays Eyewear unicorn Lenskart has announced on June 30 that it acquired a majority stake in the Japanese eye-wear firm named Owndays for a whopping $400 million. This move will help the company to reach 13 more markets in Asia including Singapore, Thailand, Taiwan, Philippines, Indonesia, Malaysia and Japan. Lenskart will also expand its engineering team from 300 to 500. 2. Infosys to invest upto $10 million in the US-based The House Fund Infosys has entered into an agreement with the US-based The House Fund III, a venture capital to invest upto $10 million. The Indian tech major will have a minority holding in the fund not exceeding 20% of the fund size. The House Fund is a pre-seed and early-stage venture capital fund based in California, US which invests in AI-focused startups from the UCB ecosystem. 3. <keyword id="46156" type="General" weightage="80" keywordseo="tvs-motor" source="Orion">TVS Motor</keyword> is all set to raise $300 million funding from top PE players Private equity giants KKR and TPG Capital are in talks with TVS Motor to invest at least $300 million.The funding will be used by the company to expand its presence in the electric vehicle market. TVS Motor may raise the money in September by selling 20-25% of TVS Electric Mobility, according to <a href="http://webcache.googleusercontent.com/search?q=cache%3Ahttps%3A%2F%2Fwww.livemint.com%2Fauto-news%2Ftvs-motor-s-ev-biz-to-raise-300-mn-11656526519309.html&amp;rlz=1C1GCEU_enIN947IN950&amp;oq=cache%3Ahttps%3A%2F%2Fwww.livemint.com%2Fauto-news%2Ftvs-motor-s-ev-biz-to-raise-300-mn-11656526519309.html&amp;aqs=chrome..69i57j69i58.2975j0j4&amp;sourceid=chrome&amp;ie=UTF-8">sources</a>. 4. <keyword id="18635" type="General" weightage="80" keywordseo="amazon" source="Orion">Amazon</keyword> and <keyword id="6354742" type="General" weightage="80" keywordseo="flipkart" source="Orion">Flipkart</keyword> rival bagged $70 million from several Indian venture capitalists Retail technology company <a href="https://www.businessinsider.in/retail/news/an-indian-startup-that-helps-small-stores-compete-with-amazon-flipkart-bags-70-million/articleshow/92536087.cms">Arzooo</a> — which helps small retailers compete with Amazon and Flipkart — announced that it has raised a whopping $70 million from Japan-based SBI Investment, Trifecta Leaders Fund and others. The round witnessed participation from several global and Indian VCs such as Celesta Capital and 3 Lines VC, who previously infused capital in Arzooo’s Series A round. 5. Google invested in Indian fintech startup Progcap Indian fintech startup, which caters to small and medium size businesses, raised $40 million in Series C round of funding led by tech giant Google, Creation Investments and Tiger Global. Existing investors <keyword id="563136" type="General" weightage="50" keywordseo="sequoia-india" source="Orion">Sequoia India</keyword> and Southeast Asia also participated in the funding round. 6. Baring-backed startup Matter raises $10 million The electric vehicle maker — Matter, backed by equity major Baring PE, raised $10 million in its first round of funding from <keyword id="80004" type="General" weightage="80" keywordseo="info-edge" source="Orion">Info Edge</keyword>’s Capital 2B Fund 1, Climate Angel Fund and other Indian and overseas high networth individuals. The company aims to launch its first electric motorcycle later this year. The fresh funds will be used towards the launch of its new vehicle and energy storage products. SEE ALSO: <a target="_blank" class="c-link c-message_attachment__title_link" href="https://www.businessinsider.in/business/startups/news/swiggy-initiates-esop-liquidity-worth-23-million-all-employees-now-eligible/articleshow/92569136.cms">Swiggy initiates ESOP liquidity worth $23 million, all employees now eligible</a> <a target="_blank" class="c-link c-message_attachment__title_link" href="https://www.businessinsider.in/business/startups/news/startups-like-unacademy-vedantu-blue-stone-caratlane-go-physical-from-digital-as-pandemic-boom-ends/articleshow/92564319.cms">Startups go physical from digital as pandemic boom ends</a>

In India, it could be a funding autumn not winter with active funds are still closing big deals

Employees of <keyword id="6358577" type="UNKNOWN" weightage="20" keywordseo="Digital-Payments">digital payments</keyword> firm <keyword id="6357120" type="UNKNOWN" weightage="20" keywordseo="PayTM">Paytm</keyword> are reaping profits by selling the shares they held in <keyword id="181441" type="COMPANY" weightage="20" keywordseo="One97-Communications">One97 Communications</keyword>, its parent company. The reason behind this sudden move is that investors and founders are increasing their stake in Paytm after <keyword id="3315394" type="UNKNOWN" weightage="20" keywordseo="demonetisation">demonetisation</keyword>, resulting in an uprise in its valuation. 
 
Also read: <a href="http://www.businessinsider.in/heres-why-paytm-is-valued-at-5-billion/articleshow/56476646.cms">Here’s why PayTM is valued at $5 billion</a> 
 Over the last few weeks, about 47 <keyword id="4326505" type="UNKNOWN" weightage="20" keywordseo="paytm-employees">Paytm employees</keyword> are believed to have sold their shares worth 100 crore to unknown internal and external buyers, sources told ET. 
 
This would also help Paytm’s major investor <a href="http://www.businessinsider.in/blogging-gets-a-facelift-alibabas-uc-web-to-pay-minimum-rs-50000-per-month-to-bloggers/articleshow/57534045.cms">Alibaba</a> and its payments affiliate Ant Financial that hold about 45% stake in One97 Communications as of now. These two along with SAIF Partners and <a href="http://www.businessinsider.in/paytm-goes-global-launches-bill-payment-service-in-canada/articleshow/57673532.cms">Paytm</a> founder <a href="http://www.businessinsider.in/This-is-how-Paytms-Vijay-Shekhar-Sharma-just-raised-Rs-325-crore/articleshow/55893308.cms">Vijay Shekhar Sharma</a>, now own about 95% stake in the company. 
 
Also read: <a href="http://www.businessinsider.in/paytm-cuts-commission-to-take-on-industry-leaders-like-flipkart-and-amazon/articleshow/57666950.cms">Paytm cuts commission to take on industry leaders like Flipkart and Amazon</a> 
 
Last year as well, several Paytm executives had sold part of their employee stock options (esops) to the company's external board members, which include former Google and Uber executive Amit Singhal, WhatsApp's Neeraj Arora, and Ruchi Sanghvi, Facebook's first woman engineer. 
 
Also read: <a href="http://www.businessinsider.in/Infosys-to-offer-incentives-to-top-employees/articleshow/50992720.cms">After stock options, Infosys to offer incentives to attract and retain valued employees</a> 
 
As per Paytm work culture, factors like individual's contribution to the company, duration of employment and their long-term potential makes them eligible for holding esops. 
 
(Image source: Paytm Blog)

Paytm employees are selling their shares for huge profits

Bank of Baroda led public sector banks substantially higher in trade on Monday even as overall markets posted losses after the government took major steps to address the growing problem of non-performing assets in the sector. 
 

	Briefly, the changes, announced after markets closed on Friday, are as under:
 

	The Government announced a new driving team for 5 PSU banks, nominating a non-executive chairman and a managing director each from the private sector for these banks.
 

	Therefore, Bank of Baroda, 58 percent controlled by the government, will now be headed by P S Jayakumar, formerly working for VBHC Value Homes. The bank will now have a non-Executive Chairman as well, the post being given to Ravi Venkatesan, an independent director on the board of software giant Infosys and the former head of Microsoft's global operations in India.
 

	Coming back to the changes, a clutch of PSU banks received funds from the government to recapitalise their NPA-laden balance sheets. This funding is a part of the 70,000 crore rupees the government intends to funnel into these banks over the next four years. Fresh funds will also help PSU banks access capital from the markets.
 

	A new panel is being set up to convert the government's holdings in PSU banks into a bank holding company that will focus of customer service and risk management.
 

	``We believe that the reforms are well-thought and cover a broader range of aspects that can help improve performance of PSU banks in the longer-term,'' CLSA said in a recent report to investors.
 

	ESOPs and performance bonuses will be given to outperformers.
 

	These new steps stoked a fresh set of buying on the PSU banking space on a day when the overall markets were under sustained selling pressure. 
 

	As a consequence, Bank of Baroda surged 11 percent to 207.50 rupees.
 

	Bank of India gained 6.9 percent to 182.20 rupees.
 

	Canara Bank rose 6.9 percent to 328.30 rupees.
 

	Union Bank jumped 3.5 percent to 216.10 rupees.
 

	State Bank of India added 3.5 percent to 278.65 rupees.
 

	And, Punjab National Bank was up 3.4 percent to 177.45 rupees.
 

	Overall, 13 PSU banks trading on the Futures and options space rose between 1 percent and 11 percent. Their Open Interest gained 0.6 percent to 8.1 percent, signalling a build up of long positions in the sector.

	 
	 
	(Image credits: Indiatimes)

Steps taken by Government working in favour of PSU at Dalal street

About two dozen top executives working with the fashion portal <keyword id="319719" type="COMPANY" weightage="100" keywordseo="Myntra">Myntra</keyword> will become millionaires as the country's largest online retailer <keyword id="6354742" type="COMPANY" weightage="100" keywordseo="Flipkart">Flipkart</keyword> completes a long-awaited acquisition of the company. 
 
Among these executives are chief operating officer Ganesh Subramanian, chief technology and product officer Shamik Sharma, human resources head Pooja Gupta and chief marketing officer Vikas Ahuja. Their shares are approximately worth between $1 million and $4 million or up to Rs 25 crore. 
 
But it is not just the top executives who will benefit. Almost all the employees in central functions such as technology and marketing, apart from the call centre and delivery staff, have received stock options. 
 This is contrary to what has been the norm in the country’s start-up sector, where founders make the most out of lucrative deals. "Employees are the least represented at the deal table," said Alok Goel, former chief operating officer of online ticketing firm <keyword id="6359128" type="COMPANY" weightage="60" keywordseo="Redbus">redBus</keyword>, which was acquired by South Africa's <keyword id="6356837" type="COMPANY" weightage="60" keywordseo="Naspers">Naspers</keyword> in 2013. 
 
Goel, who is now the chief executive of Freecharge, an online recharge site, said that the start-ups set aside a stock pool, but do not distribute it. "At Freecharge, we have set aside a healthy stock pool and have already distributed a large chunk of it," he added. 
 
"Fewer employees have stock in the company," said a recruitment consultant who has worked with Myntra. Naukri and MakeMyTrip are regarded as start-ups that shared their wealth with employees in the form of stock options. 
 
The best-known Indian company for sharing its wealth with the employees is Infosys. Since 1994, the company has had three ESOP (Employee Stock Ownership Plan) plans that covered 32,000 employees. 
 
"Myntra's is a good model for other start-ups and entrepreneurs," said Anshuman Das, managing partner at Longhouse Consulting, a recruitment firm that works with start-ups.

You Searched For "infosys ESOP" and got 10 results

What you need to know when you exercise your stock option plan

Anagh Pal

Vijay Shekhar Sharma gets nearly half of new shares as Paytm doubles its ESOP pool ahead of IPO

Kritti Bhalla

Infosys relaunches employee stock option plan to control rising attrition rate

BI India Bureau

After stock options, Infosys to offer incentives to attract and retain valued employees

BI India Bureau

Poor salary hikes and fewer H1-Bs may force tech cos like Infosys roll out stock options

Katya Naidu

Sensex tanks by 496 points in morning trade; NTPC, Tata Steel, Reliance Industries, Sun Pharma, Power Grid and HDFC top five gainers among Nifty 50 stocks

PTI

In India, it could be a funding autumn not winter with active funds are still closing big deals

Vaamanaa Sethi

Paytm employees are selling their shares for huge profits

BI India Bureau

Steps taken by Government working in favour of PSU at Dalal street

Shailendra Bhatnagar

Top Myntra Execs To Become Millionaires After Flipkart Deal

BI India Bureau

Popular Keywords

Buying Guides