The IPO-bound food delivery giant Swiggy announced a plan to repurchase up to $65 million (₹543.5 crore) in shares awarded under its Employee Stock Ownership Plan (ESOP).
Co-founders of Swiggy, Nandan Reddy and Sriharsha Majety, will be selling some shares as part of the company’s upcoming employee stock ownership plan (ESOP) liquidity event program, along with other staff members.
Swiggy To Repurchase $65 million in Shares
The shares that employees at all levels sell will be purchased by other investors who wish to purchase Swiggy stock.
More than 3,200 workers have benefited from the company’s combined enabling of over ₹1,000 crore in ESOP liquidity over the course of five events.
The first ESOP for Swiggy was valued at $4 million in 2018 and will be worth $9 million by 2020. The $50 million third ESOP repurchase took place in 2023.
As Swiggy expands, the company has always placed a high priority on rewarding staff members by opening doors to potential for wealth creation, according to Girish Menon, Head of HR.
According to Girish Menon, when employees own shares in their company, incentives align and there is a focused focus on collaborative excellence.
Swiggy is gearing up to celebrate ten years of customer love, and the most recent ESOP event is considered as a commitment to sharing Swiggy’s development and success with its employees as well as an acknowledgement of their contributions.
Swiggy has filed preliminary documentation for an initial public offering (IPO) with SEBI. Swiggy has received approval from its shareholders to proceed with the initial public offering (IPO).
Zomato, Swiggy Increases ‘Platform Fees’ By 20%: Pay Extra Rs 6 For Every Order
Food delivery giants Zomato and Swiggy have recently increased their platform fees, stirring reactions among their customer base. The new fee structure, which raises the platform fee to Rs 6 per order, is part of a strategy to boost revenues and profitability.
Initially, both Zomato and Swiggy charged a nominal platform fee of Rs 2 per order. Over time, these fees have seen incremental hikes. In key markets such as Bengaluru and Delhi, the platform fee has now reached Rs 6, representing a 20% increase from the previous Rs 5 fee. This fee is charged on top of the delivery charges and is aimed at covering the operational costs of the platforms.
