Zomato Stock Hits All-Time High After Shareholders Approve $458 Million ESOP Plan

In a major development, food delivery giant Zomato has received approval from shareholders for a new employee stock ownership plan (ESOP) worth $458 million. According to regulatory documents accessed by Entrackr, the board has granted over 18.26 million ESOP options under the new scheme. This takes the total value of Zomato’s ESOP pool to over $796 million.

Sources indicate the newly approved ESOPs are worth around Rs. 3,800 crore or $458 million. With this expansion, Zomato looks to continue rewarding employees as the company scales greater heights. Following the announcement, investor sentiment turned bullish as Zomato shares touched a record high of Rs. 209.84 in trading today.

The approval is well-timed as all key growth metrics for Zomato are pointing northwards. In the last financial year alone, the company witnessed 71% year-on-year jump in revenue to Rs. 12,114 crore. Losses also narrowed considerably over previous years. The new ESOP scheme will serve to motivate employees who have helped drive this strong performance.

In other news, Zomato has now withdrawn its application for a non-banking finance license as it no longer intends to pursue lending activities. This decision allows the foodtech player to focus fully on its core business. With employee ownership expansion and continued business expansion, Zomato seems well positioned for further success in the coming periods. Shareholders are clearly optimistic about the company’s future prospects.