Deepinder Goyal to give up ₹1,000-crore Eternal ESOPs as he steps down as CEO: Report
In a significant development, billionaire Deepinder Goyal, the founder and CEO of Zomato parent company Eternal, is set to give up unvested Employee Stock Ownership Plans (ESOPs) worth around ₹1,000 crore as he steps down from his position as CEO. This move is expected to have a significant impact on the company’s ESOP pool, with 3.3 crore shares returning to the company. According to a report by Economic Times, this development is likely to have a positive impact on the company’s future plans, with the CFO stating that it may not need to dilute its ESOPs again for a longer period.
The decision by Deepinder Goyal to give up his unvested ESOPs is a significant one, and it highlights the company’s commitment to its employees and its vision for the future. ESOPs are a key component of a company’s compensation package, and they provide employees with a sense of ownership and motivation to work towards the company’s goals. By giving up his unvested ESOPs, Goyal is essentially returning a significant portion of the company’s shares to the ESOP pool, which can then be used to incentivize and reward other employees.
The impact of this move on the company’s ESOP pool is significant. With 3.3 crore shares returning to the pool, the company will have a larger pool of shares to allocate to its employees. This can help to attract and retain top talent, as well as motivate existing employees to work towards the company’s goals. According to Akshant Goyal, the company’s CFO, “Because [of this]…we may not need to dilute our ESOPs again for slightly longer.” This suggests that the company is confident that it can manage its ESOPs effectively and does not need to issue new shares to employees in the near future.
The decision by Deepinder Goyal to step down as CEO of Eternal is also significant. As the founder of the company, Goyal has been instrumental in shaping its vision and strategy. His departure is likely to have a significant impact on the company’s direction and operations. However, the company has stated that Goyal will continue to be involved with the company, albeit in a different capacity. This suggests that his expertise and experience will still be available to the company, even if he is no longer at the helm.
The news of Deepinder Goyal giving up his unvested ESOPs has sent shockwaves through the business community. Many are seeing this as a positive development, as it highlights the company’s commitment to its employees and its vision for the future. Others are speculating about the reasons behind Goyal’s decision to step down as CEO and give up his ESOPs. Whatever the reasons, one thing is clear: this development is likely to have a significant impact on the company’s future plans and operations.
In recent years, Zomato has been at the forefront of the food delivery industry in India. The company has expanded rapidly, and its valuation has soared. However, the company has also faced significant challenges, including intense competition and regulatory hurdles. Despite these challenges, the company has continued to innovate and expand its offerings. The decision by Deepinder Goyal to give up his unvested ESOPs is a testament to the company’s commitment to its employees and its vision for the future.
As the company looks to the future, it is clear that it will face significant challenges and opportunities. The food delivery industry is highly competitive, and the company will need to continue to innovate and expand its offerings to stay ahead of the competition. However, with a strong leadership team and a committed workforce, the company is well-positioned to succeed.
In conclusion, the news of Deepinder Goyal giving up his unvested ESOPs is a significant development that highlights the company’s commitment to its employees and its vision for the future. With 3.3 crore shares returning to the company’s ESOP pool, the company is well-positioned to attract and retain top talent, as well as motivate existing employees to work towards its goals. As the company looks to the future, it is clear that it will face significant challenges and opportunities. However, with a strong leadership team and a committed workforce, the company is well-positioned to succeed.
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