FarEye announces Esop liquidity program1 min read . Updated: 07 Jan 2021, 12:05 PM IST
- Under the scheme, eligible employees can liquidate up to 35% of their vested Esop shares. The company has announced the distribution of $739,000 to liquidate eligible ESOP options under this program
FarEye, a logistics software-as-a-service (SaaS) platform has announced an employee stock ownership program (Esop) liquidation program for its staff. This is the first time that the company has offered liquidation of Esops.
Under the scheme, eligible employees can liquidate up to 35% of their vested Esop shares, the company said in a statement. The company has announced the distribution of $739,000 to liquidate eligible ESOP options under this program.
“2020 has been a tough year for all of us. The liquidation program is a reciprocation for the hard work of our employees. It is a small way of saying thank you to the team as they have been working day in and day out from their homes," said Kushal Nahata, CEO, FarEye.
"We announced this liquidation to make employees partners in our success and to ensure they are able to create wealth for themselves and their families," Nahata added.
The start-up will continue to expand the team in 2021 and roll-out programs with similar benefits.
FarEye works with enterprises to provide an end to end logistics management platform which enables enterprises to orchestrate, track, and optimize the movement of goods and adds visibility in a typical farm to fork journey. Despite the slowdown during the pandemic and the subsequent effects, FarEye increased its manpower by over 12% during the lockdown.
Last year, FarEye raised $ 37.5 million in Series D funding to expand its intelligent logistics management platform used by DHL, Walmart, Amway, and many other Fortune 500 companies. This is the second time within the last year that FarEye raised funds to support its growth in global markets, making it a total of $50 million in investment so far.
Several startups including Unacademy, Zerodha, CarDekho, BharatPe, Meesho, and Swiggy, announced Esop buybacks last year.
Esops assume more significance when they happen after many startups have witnessed a financial crunch amid the pandemic and has cut jobs and slashed salaries. This continues to be a strong tool for founders to retain employees as they emerge from the crisis.