One 97 Communications, the parent of fintech firm Paytm, said on Thursday that it has approved the grant of over 5.15 lakh employee stock options (Esops) and the allotment of a little over one lakh equity shares, marking the second such Esop exercise in less than a month.
In a stock exchange filing, the company said 5,15,617 stock options were granted to eligible employees under the One 97 Employees Stock Option Scheme, 2019, while 2,63,249 options lapsed during the period.
Each option is convertible into one equity share with a face value of Re 1.
Based on Paytm’s last closing price of Rs 1,168.7 on the BSE, the options carry a notional value of about Rs 60.2 crore.
The company also allotted 1,00,281 equity shares to employees who exercised vested options under the same scheme at an exercise price of Rs 9 per share.
This marks the second Esop grant and allotment by Paytm in January. Earlier this month, the company had allotted 1,88,879 equity shares to employees following the exercise of stock options, and approved a fresh grant of 1,23,908 options under the same scheme.
Following the latest allotment, Paytm’s issued, subscribed, and paid-up equity share capital increased marginally to Rs 63.98 crore from Rs 63.97 crore earlier.
The newly-issued shares will rank ‘pari passu’, meaning they will have the same rights, including voting rights and dividends, as existing equity shares, and are not subject to any lock-in period.
While Esop exercises lead to marginal dilution for existing shareholders, they are commonly used by new-age companies to retain and incentivise employees.
Employee stock options at Paytm have been under regulatory scrutiny over the past year. In May 2025, the company, its founder Vijay Shekhar Sharma, and his brother Ajay Shekhar Sharma settled a case with the Securities and Exchange Board of India (Sebi) over alleged disclosure lapses related to Sharma’s promoter status at the time of the company’s initial public offering.
As part of the settlement, the Sharma brothers forfeited 21 million Esops and agreed to a three-year ban on receiving new stock options from listed companies. The settlement involved a payment of about Rs 2.79 crore.
In a stock exchange filing, the company said 5,15,617 stock options were granted to eligible employees under the One 97 Employees Stock Option Scheme, 2019, while 2,63,249 options lapsed during the period.
Each option is convertible into one equity share with a face value of Re 1.
Based on Paytm’s last closing price of Rs 1,168.7 on the BSE, the options carry a notional value of about Rs 60.2 crore.
The company also allotted 1,00,281 equity shares to employees who exercised vested options under the same scheme at an exercise price of Rs 9 per share.
This marks the second Esop grant and allotment by Paytm in January. Earlier this month, the company had allotted 1,88,879 equity shares to employees following the exercise of stock options, and approved a fresh grant of 1,23,908 options under the same scheme.
Following the latest allotment, Paytm’s issued, subscribed, and paid-up equity share capital increased marginally to Rs 63.98 crore from Rs 63.97 crore earlier.
The newly-issued shares will rank ‘pari passu’, meaning they will have the same rights, including voting rights and dividends, as existing equity shares, and are not subject to any lock-in period.
While Esop exercises lead to marginal dilution for existing shareholders, they are commonly used by new-age companies to retain and incentivise employees.
Employee stock options at Paytm have been under regulatory scrutiny over the past year. In May 2025, the company, its founder Vijay Shekhar Sharma, and his brother Ajay Shekhar Sharma settled a case with the Securities and Exchange Board of India (Sebi) over alleged disclosure lapses related to Sharma’s promoter status at the time of the company’s initial public offering.
As part of the settlement, the Sharma brothers forfeited 21 million Esops and agreed to a three-year ban on receiving new stock options from listed companies. The settlement involved a payment of about Rs 2.79 crore.
