About 400 employees with stock options at online retailer Flipkart have hit the ‘crorepati’ jackpot because of the surging valuation of the online retailer.The bonanza is reminiscent of the times when thousands of employees — among them office assistants, drivers and receptionists — at another Bangalore-based company Infosys hit Esop paydirt.
“About 400 of the employees who own a stake have now become crorepatis,” said a person who has direct knowledge of the employee stock option scheme at Flipkart, which received $1 billion (Rs 6,000 crore) in funding last month, valuing it at $7 billion.About one-fourth of Flipkart’s 7,000 full-time employees own a stake in the company.At the senior-most level, nearly 20 employees who are at the grade of senior vice-president or above and joined over two years ago are now dollar millionaires, meaning their stock options are worth at least Rs 6 crore on paper. The firm’s stock options get vested over four years. Flipkart declined to provide details for the report.It is the online retail market leader’s valuation jump that has led to this wealth creation.
Source : Economic Times