Swiggy initiates 2nd tranche of ESOP liquidity totalling $50 mn

New Delhi, July 24 (IANS) Online food-delivery platform Swiggy on Monday announced the second milestone in its committed two-year employee stock ownership plans (ESOP) liquidity programme, in which its employees will have the option to receive liquidity totalling up to $50 million against their ESOPs.

This event will also see eligible employees from Dineout which Swiggy acquired last year participate.

Swiggy, which announced turning EBITDA positive in its food delivery business as of March successfully integrated Dineout and strengthened its position in Q-commerce with Instamart.

“Two years ago, Swiggy announced a one-of-its-kind ESOP programme to enable consistent wealth creation for employees through two distinct liquidity events in 2022 and 2023," Girish Menon, Head of HR at Swiggy, said in a statement.

"Our team is Swiggy's most valuable asset, and we are happy that macroeconomic conditions notwithstanding, we're able to keep our commitment of sharing Swiggy's success and growth through these wealth creation opportunities," he added.

According to the company, over 2,000 employees are eligible, including those who transitioned from Dineout.

Swiggy joins a handful of companies this year that have been able to exercise ESOP liquidity programmes despite tough macroeconomic conditions. This is Swiggy's fourth liquidity event since 2018.

Founded in 2014, Swiggy connects consumers to over 2,50,000 restaurant partners in hundreds of cities. Its quick commerce grocery service Instamart is present in over 25 cities.

Meanwhile, Swiggy has said it disbursed more than Rs 31 crore in claim amounts to its delivery partners in the fiscal year 2022-2023.

They received comprehensive insurance coverage, including accidental medical coverage, maternity leave, and income support during accident recovery.

The company has been providing insurance to its delivery partners since 2015.

The company has partnered with Reliance General Insurance to cover health insurance, personal accident and accidental death, and mobile phone damages.