Zomato rival Swiggy grants ESOPs worth Rs 443 crore to employees

Food delivery and quick-commerce giant Swiggy has announced a fresh grant of employee stock options (ESOPs) worth Rs 443.4 crore or around $52 million under its newly introduced Employee Stock Option Plan 2024. 

The move underscores the company's efforts to bolster employee retention and reward long-term contributors amid rising competition in India's tech talent market.

Swiggy allots 1.28 crore ESOPs

According to regulatory disclosures filed with the National Stock Exchange (NSE), Swiggy’s Nomination and Remuneration Committee approved the allocation of 1.28 crore ESOPs (12,896,462 options), each convertible into equity shares.

The latest stock option grant follows closely on the heels of Swiggy's previous ESOP action just three months ago, when the company allotted 2.61 crore shares across earlier employee stock schemes. That move led to a slight uptick in its paid-up equity share capital, which rose from Rs 2.23 crore to Rs 2.26 crore.

Talent incentives amid expansion push

The ESOP issuance arrives at a time when Swiggy is intensifying its investment in core operations. In recent months, the Bengaluru-headquartered company infused Rs 1,000 crore into its logistics arm, Scootsy Logistics. The subsidiary accounted for 42% of Swiggy's total revenue in the previous quarter.

While Swiggy has yet to release its financial results for the fourth quarter of FY25, its Q3 performance offered mixed signals. The Zomato rival posted revenue of Rs 3,993 crore, marking a 31% year-on-year increase. However, its net losses widened to Rs 799 crore, reflecting a 39.2% surge from the same period a year earlier.