In a bid to facilitate wealth creation and empower employees, WeWork India has announced an employee stock ownership plan (ESOP) surrender exercise. That means, the coworking company will allow its employees to surrender up to 25 per cent of their vested stock options.
The company that began India operations in 2017, now has over six million square feet of assets across 45 locations in the country, primarily in Mumbai, Bengaluru, Delhi-NCR, Pune and Hyderabad.
The surrender exercise is also a way for WeWork to express gratitude towards their employees for their hard work and support.
Meanwhile, Sula Vineyards has allotted its workers 19,271 equity shares under the Employee Stock Option Scheme 2021. The stocks are reportedly being allotted at a face value of Rs 2 each. These stocks will be equal to the company’s existing equity shares. The exercise price for the same will be Rs 170 per unit, with the premium being Rs 168 per unit.
In December 2022, Sula released its initial public offering (IPO) and as on 13 April, the Nashik-based wine maker’s shares were trading at Rs 389.75 on the National Stock Exchange and Rs 388 on the Bombay Stock Exchange.
Organisations are increasingly allotting ESOPs to their employees to not only retain their valuable talent, but also to attract quality talent. These stocks are generally vested over a few years, and employees are allowed to sell their vested stocks in public markets at open market valuation. Employers may also buy them back at fair market value.