The fulfillment-led marketplace for home services, UrbanClap is hosting second-round of the ESOP sale worth $2.0-2.5 million.
UrbanClap has recently raised a $50 million funding round and currently stands at $500 million valuations. As a part of this round, the company has facilitated a secondary of ESOPs that will allow the employees to earn about $2-2.5 million.
Abhiraj Bahl, Founder, and Chief Executive, UrbanClap shared in media, "In India, given there are very few successful startup exits, there is often skepticism around ESOPs. The thought process around facilitating these secondary transactions is to help employees see value in these ESOPs."
This ESOP sale is the second such event by the company in less than two years. The first sale happened in July 2017. This year, the sale price of shares under ESOP was made at about Rs 62,000 compared with Rs 24,000 in 2017.
With the current ESOP sale program, nearly 50 of the eligible 100 employees have exercised the option to sell their shares to Steadview and Vy Capital. It is reported that in this secondary transaction, 50 percent of the ESOP holders plan to encash their stakes, and expected to earn up to Rs 1 crore (as the plan limits).