Muthoot Finance Ltd today announced the launch of its maiden Employee Stock Options Plan (ESOP), which would benefit its over 24,000 employees.
The plan was approved as a special resolution in the company Annual General Meeting held here on September 27, the company said in a press release.
The plan will grant employee stock options to employees through one or more employee stock options schemes.
Among the salient features of the ESOP are that Options convertible into such number of equity shares not exceeding three per cent of the paid up capital at any point of time, Each option (after it is vested) will be exercisable for one equity share of Rs 10 each fully paid up.
All permanent employees, including Directors, whether working in India or abroad, would be entitled in the employee stock options scheme. Options can be exercised within a period of eight years from the date of grant.
The appraisal process to determine the eligibility of the employee will be specified by the Board and the number of options that may be granted to workers under the Scheme shall be determined by the ESOP Committee from time to time.
Commenting on the special provision launch, M G George Muthoot, Chairman, Muthoot Finance said the plan would not only enable the company reward past loyalty and performance, but also attract and retain the best talent, besides enabling employees develop a greater sense of ownership with the organisation.
With this maiden ESOP scheme, the company wants not only to reward existing employees who have been active in achieving long—term corporate goals, but also be the best company to work for by retaining and attracting new talent to drive the next leg of growth.