Fintech unicorn Razorpay has announced allotment of Employee Stock Ownership Plans (ESOPs) worth Rs 1 lakh to all its over 3,000 employees. The announcement comes amid the company's 10th anniversary, where the fintech firm decided to reward its employees, or 'Racers' as they call them.
Razorpay Co-Founder and CEO Harshil Mathur said the company's move to separate ESOPs is the company's way of ensuring that each teammate shares in the company's success as they continue, simplifying cash flow and creating greater value for businesses in India and beyond. means
Shashank Kumar, co-founder and managing director of the company, said the company's long-term thinking and value creation led to rewarding the team's hard work by offering ESOPs to all employees.
This is Razorpay's third employee liquidity event. In 2018, it allowed 140 employees to liquidate their vested shares and in 2022 a large $75-million buyout benefited 650 employees.
With an employee base of at least 3,000 and ESOPs of Rs 1 lakh, Razorpay's offering translates to an ESOP value of Rs 30 crore. Razorpay said it is unusual for companies to undertake such an initiative on such a large scale, and for many employees this will mark their first ESOP.
Meanwhile, the company has reportedly started the process of shifting its headquarters from the US to India. Mathur told The Times of India that it makes sense to list on the market where people know them. He said the rollout comes with significant costs, but they feel it's worth it.
The company expects to go public in 2026.