FirstCry also announced the transfer of 5.37 Lakh equity shares under Brainbees ESOP 2022 scheme through cash exercise and cashless exercise methods
While 5.28 Lakh shares were allotted under ESOP 2011 initiative, the remaining 4.56 Lakh shares were earmarked under ESOP 2022
Following this allotment, FirstCry’s paid-up share capital increased to INR 104.03 Cr from INR 103.83 Cr earlier
Kids-focussed omnichannel retailer FirstCry
has allotted 9.84 Lakh equity shares to its workforce under various employee stock option plan (ESOP) schemes.
In an exchange filing on Thursday (March 6), the company also announced the transfer of 5.37 Lakh equity shares under Brainbees ESOP 2022 scheme through cash exercise and cashless exercise methods.
For context, a cashless exercise method authorises a trust to sell shares on behalf of its employees to recover the exercise price, tax amount, among others, out of the options exercised by the employees
Of the 9.84 Lakh ESOPs allotted, 5.28 Lakh shares were allotted under ESOP 2011 initiative while the remaining 4.56 Lakh shares were earmarked under Brainbees Employees Stock Option Plan 2022. Following this allotment, FirstCry’s paid-up share capital increased to INR 104.03 Cr from INR 103.83 Cr earlier.
The ESOP allotment coincides with a significant rally in FirstCry’s stock, which surged as much as 17.1% to INR 428 during intraday trading on the BSE today, rebounding from its 52-week low of INR 356.55 a day ago.
This also comes close on the heels of FirstCry narrowing its consolidated net loss by 69.5% to INR 14.78 Cr in Q3 FY25 from INR 48.41 Cr in the year-ago quarter. The company’s revenue from operations surged 14.3% year-on-year to INR 2,172.30 Cr during the period.
Recently, the company also announced plans to invest INR 300 Cr in its wholly-owned subsidiary, Digital Age Retail Private Limited, to establish new modern stores and make lease payments for existing stores.
The company has also undertaken strategic cost-cutting measures, including the closure of 38 underperforming company-operated stores in Q3 FY25.
This development comes at a time when several new-age tech companies are expanding their ESOP pools to retain talent. Recently, BlackBuck allotted 7.36 Lakh shares worth INR 30.5 Cr, while Swiggy allotted 8.64 Lakh shares worth INR 30.62 Cr under their respective ESOP schemes.
Shares of FirstCry closed 11.8% higher at INR 408.40 on the BSE today.