Flipkart offers more ESOPs to make up for drop in company valuation
It’s been just few days that Flipkart saw a capital raise at a valuation of $11.6 billion, and now the online retailer has sent out an email to its employees, which says they will be issued additional shares to make up for the lower valuation .
As Flipkart was funded at a lower valuation, it has seen a drop in the price of its shares that were issued to the employees with Employee Stock Options (ESOPs) when the company was valued higher. This includes not only Flipkart employees but also of its group companies, Myntra and Jabong along with payments venture PhonePe . About a third of Flipkart s 8,000 employees have ESOPs.