In a bid to incentivise as many as 900 of its employees, online food and grocery delivery platform Swiggy has announced that they will have the option to receive liquidity of up to $23 million against their employee stock ownership plans (ESOPs). The announcement was made by the company on Thursday, June 30.
The company has also announced that the next round of ESOP liquidity will be held in July 2023. This enables employees holding ESOPs to create wealth alongside the growth and success of the brand, the company said in a statement.
Apart from this, Swiggy has also rolled out a new programme, named Buy Your Own Dollar (BYOD), wherein employees of the food delivery major can choose to invest in the company’s ESOPs. ESOPs were earlier offered to employees above a certain grade and/or based on performance, Swiggy said in a statement. The BYOD program will be open to all permanent employees of the company, it further said. Previously, employees of certain grades had the access to Swiggy’s ESOPs, as mentioned above.
“Rewarding employees by creating wealth opportunities is one of our priorities at Swiggy. We are happy seeing the wealth created for employees from the recent ESOP liquidity event,” said Girish Menon, Head of HR at Swiggy. “Taking this further, we are delighted to now extend the opportunity to own Swiggy ESOPs to all employees through our build your own dollar (BYOD) programme. We are committed to enable every employee to potentially gain from our growth and success,” he added.
The food delivery giant, which had raised $700 million in January through capital infusion by Invesco, had upped its valuation at over $10 billion. The company had introduced a two-year ESOP liquidity program worth $35-40 million in October 2021.
“As Swiggy grows, we want our team to grow with us and enjoy the fruits of their hard work and valuable contributions. This is an industry-first initiative whereby we are democratizing wealth creation by enabling all our ESOP holding employees to participate in our committed liquidity events in 2022 and 2023. More importantly, by giving them visibility on the ESOP liquidity, Swiggsters hold the option and flexibility to plan their cash flow and investments,” Menon had said at the time.
Founded in 2014, Swiggy connects consumers to over 2,00,000 restaurant partners and stores in over 500 cities. Its quick commerce grocery service Instamart is present in 29 cities. In December 2021, Swiggy announced to pour $700 million into Instamart. Last month, Swiggy acquired Dineout, a dining out and restaurant tech platform, for nearly $200 million.