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Flipkart plans to buy ESOP worth $125mn
June 23, 2021
Flipkart is mulling buyback of employee stock options (ESOPs) worth almost $125 million, sources told TOI. In the event that it occurs, it will create many new dollar millionaires. The plan is part for new funding round that the Walmart-backed organization is amidst. Flipkart is talking with investors to raise about $3 billion, a round that is expected to value the firm at $35 billion.
Flipkart representatives will have the choice to liquidate their vested ESOPs. In 2018, when Walmart obtained Flipkart, it had held $500 million to buy back ESOPs from Flipkart’s staff members. The buyback had transformed a few hundred Flipkart workers into millionaires. Flipkart employees over 15,000 full-time employees in India.
TOI has reported that Canada Pension Plan Investment Board (CPPIB), Abu Dhabi Investment Authority (ADIA) and Japan’s SoftBank together could invest around $2 billion in the group, while Softbank would infuse $500-550 million.
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