Deepinder Goyal to give up ₹1,000-crore Eternal ESOPs as he steps down as CEO: Report
In a shocking turn of events, billionaire Deepinder Goyal, the founder and CEO of Zomato’s parent company Eternal, has decided to step down as the CEO of the company. As a result, he will be giving up unvested ESOPs (Employee Stock Ownership Plans) worth around ₹1,000 crore. This decision has significant implications for the company, its employees, and its future growth prospects.
According to a report by Economic Times, Goyal’s decision to step down as CEO will result in the return of 3.3 crore shares to the company’s pool. This is a significant development, as it means that the company will not have to dilute its ESOPs again for a longer period. As Akshant Goyal, the company’s CFO, stated, “Because [of this]…we may not need to dilute our ESOPs again for slightly longer.”
The decision by Goyal to give up his unvested ESOPs is a testament to his commitment to the company’s long-term success. By doing so, he is ensuring that the company’s ESOP pool remains intact, which will benefit the employees and the company as a whole. ESOPs are a vital tool for attracting and retaining top talent, and Goyal’s decision will help the company to continue to attract and motivate its employees.
The news of Goyal’s decision to step down as CEO has sent shockwaves through the business community. As the founder and CEO of Zomato, Goyal has been instrumental in shaping the company’s vision and strategy. Under his leadership, Zomato has grown into one of the largest food delivery companies in India, with a presence in over 1,000 cities across the country.
Goyal’s decision to step down as CEO is seen as a sign of his confidence in the company’s future prospects. By giving up his unvested ESOPs, he is demonstrating his commitment to the company’s long-term success and his faith in the ability of the company’s management team to take the company forward.
The return of 3.3 crore shares to the company’s pool is a significant development, as it will help to reduce the company’s equity dilution. Equity dilution occurs when a company issues new shares, which can lead to a decrease in the value of existing shares. By returning these shares to the company’s pool, Goyal is helping to prevent equity dilution, which will benefit the company’s existing shareholders.
The decision by Goyal to give up his unvested ESOPs is also seen as a positive development for the company’s employees. ESOPs are a vital benefit for employees, as they provide them with a stake in the company’s success. By maintaining the company’s ESOP pool, Goyal is ensuring that the company’s employees will continue to be motivated and incentivized to contribute to the company’s growth and success.
In conclusion, the decision by Deepinder Goyal to give up his unvested ESOPs worth around ₹1,000 crore as he steps down as CEO of Eternal is a significant development for the company. By doing so, he is demonstrating his commitment to the company’s long-term success and his faith in the ability of the company’s management team to take the company forward. The return of 3.3 crore shares to the company’s pool will help to reduce equity dilution, which will benefit the company’s existing shareholders. As the company looks to the future, it is clear that Goyal’s decision will have a positive impact on the company’s growth and success.
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