Swiggy, an Indian food and grocery delivery platform, has announced a new round of employee stock option (Esop) grants valued at 150 crore rupee (US$18.07 million).

This was disclosed in a filing with the National Stock Exchange (NSE) dated July 11.

The company issued 38.86 lakh (US$46,819) stock options under its Esop 2024 plan.

These options have an exercise price of Re 1 (US$0.012) each and will convert into fully paid-up equity shares upon vesting.

Employees can exercise these options until the company’s liquidation.

This announcement follows an earlier Esop package worth Rs 443.4 crore (US$53.4 million) that Swiggy introduced in April.

Swiggy reported a net loss of Rs 1,081 crore (US$130.24 million) for the January–March quarter. This loss was largely due to the expansion of its quick commerce segment.

🔗 Source: The Economic Times

🧠 Food for thought

1️⃣ Strategic ESOP grants reflect pre-IPO talent retention playbook

Swiggy’s latest Rs 150 crore ESOP grant reflects a clear strategy of increasing employee equity participation ahead of its public market journey.

The company has now issued nearly Rs 600 crore in ESOP grants in just four months (Rs 443.4 crore in April plus the current Rs 150 crore), demonstrating an accelerated approach to employee ownership 1.

This strategy aligns with Swiggy’s anticipated IPO, which is projected to unlock approximately $1 billion in wealth for around 5,000 employees—a substantial wealth creation event 2.

The low exercise price of Re 1 per option makes these grants particularly valuable, as they essentially function as restricted stock units that allow employees to capture nearly the full share value upon vesting.

Swiggy’s ESOP strategy mirrors successful pre-IPO approaches by other tech companies, creating incentives for key talent during a critical business transformation period.

2️⃣ Quick commerce growth creates widening profitability gap despite revenue gains