eClerx Services has announced the vesting of 6,75,870 employee stock options as part of its Employee Stock Option Scheme 2022. These options, granted to employees of the company and its subsidiaries on May 25, 2023, have completed a time-based vesting period of three years and are now available for exercise from April 1, 2026.
The Employee Stock Option Scheme 2022 is in compliance with the Securities and Exchange Board of India (Share Based Employee Benefits and Sweat Equity) Regulations, 2021. The scheme initially granted a total of 11,74,480 equity shares of ₹10 each, with the vested options covering 6,75,870 equity shares.
The pricing formula for the exercise price is determined by the lower of the latest available closing market price on the date prior to the finalisation of the specific number of options by the Remuneration Committee, or the average of the two weeks high and low price of the share preceding the date of grant. The exercise price for these options was set at ₹709.91.
Employees have a three-year window from the date of vesting to exercise their options. The ESOP Scheme 2022 is administered via an ESOP Trust, which is authorised to purchase shares from the secondary market to facilitate the exercises. The scheme also outlines conditions related to the resignation or termination of employment, which affect the status of vested and unvested options.
Disclaimer: This article is based on a regulatory filing submitted to the National Stock Exchange of India (NSE).