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 CEO of Zomato parent Eternal, is set to give up unvested ESOPs (Employee Stock Ownership Plans) worth around ₹1,000 crore as he steps down from his position. This move is expected to have a significant impact on the company’s ESOP pool, with 3.3 crore shares set to return to the company. According to a report by Economic Times, this development is a result of Goyal’s decision to step down as CEO, which will lead to the surrender of his unvested ESOPs.
The news of Goyal’s decision to give up his ESOPs has sent shockwaves in the business community, with many analysts and experts weighing in on the implications of this move. The ESOPs that Goyal will be giving up are estimated to be worth around ₹1,000 crore, which is a significant amount by any standards. This move is seen as a testament to Goyal’s commitment to the company and his willingness to prioritize the interests of the organization over personal gains.
The return of 3.3 crore shares to the company’s ESOP pool is expected to have a positive impact on the company’s overall ESOP strategy. According to Akshant Goyal, the company’s CFO, “Because [of this]…we may not need to dilute our ESOPs again for slightly longer.” This statement suggests that the company may not need to issue new ESOPs to employees in the near future, which could help to maintain the value of existing ESOPs and prevent dilution of ownership.
The decision by Goyal to give up his ESOPs is also seen as a sign of his confidence in the company’s future prospects. By surrendering his unvested ESOPs, Goyal is essentially putting his money where his mouth is, demonstrating his faith in the company’s ability to continue growing and thriving in the years to come. This move is likely to be seen as a positive development by investors and stakeholders, who will view it as a sign of Goyal’s commitment to the company’s long-term success.
The news of Goyal’s decision to step down as CEO has also sparked speculation about the future leadership of the company. While Goyal will no longer be at the helm, he is expected to remain involved with the company in some capacity. The identity of his successor has not been announced yet, but it is expected that the company will appoint a new CEO in the coming weeks or months.
The development is also seen as a significant milestone in the history of Zomato, which has been one of the most successful startups in India in recent years. The company’s journey from a small startup to a large and successful business has been well-documented, and Goyal’s leadership has been instrumental in this success. By giving up his ESOPs, Goyal is ensuring that the company’s ESOP pool remains intact, which will help to maintain the motivation and morale of employees.
In conclusion, the decision by Deepinder Goyal to give up his unvested ESOPs worth around ₹1,000 crore is a significant development that is expected to have a positive impact on the company’s ESOP strategy. The return of 3.3 crore shares to the company’s ESOP pool will help to maintain the value of existing ESOPs and prevent dilution of ownership. This move is a testament to Goyal’s commitment to the company and his willingness to prioritize the interests of the organization over personal gains.
As the company looks to the future, it is likely that Goyal’s decision will be seen as a positive development by investors and stakeholders. The company’s ability to maintain a strong ESOP pool will be crucial in attracting and retaining top talent, which is essential for its continued growth and success. With Goyal’s decision to give up his ESOPs, the company is well-positioned to continue thriving in the years to come.
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