Nykaa receives shareholders' approval for bonus issue and ESOP; Stock down 1%

4 Nov 2022 , 12:03 PM

The Board of the lifestyle retailer FSN E-Commerce Ventures Limited (Nykaa), on October 3, 2022, approved Bonus Issue of Equity Shares in the proportion of 5 (Five) fully paid-up Equity Shares of Rs1/- each for every 1 (One) fully paid-up Equity Share of Rs1/- each held by the shareholders of the Company, subject to shareholders’ approval.

Pursuant to this, the company held a postal ballot for the issue of Bonus Shares out of its securities premium reserves from October 4, 2022 to November 2, 2022.

In a regulatory filing, it is informed that the Company received an overwhelming response from its shareholders and witnessed 100% of the voting in favour of the Bonus Resolution.

“The Company believes that Bonus Shares will encourage the participation of retail investors in the long term, as well as see a wider shareholding”, Nykaa said on Thursday.

Additionally, in line with Nykaa’s aim to attract and retain the right talent pool and build long term incentive structures, The Nomination and Remuneration Committee of the Directors and the Board of Directors of the Company at their respective meetings held on September 30, 2022 and October 3, 2022 have approved the introduction of the Employee Stock Option Plan 2022 & Employee Stock Unit Plan 2022 subject to shareholders’ approval. Pursuant to this, the company held a postal ballot for Employee Stock Option Plan 2022 & Employee Stock Unit Plan 2022 from October 4, 2022 to November 2, 2022.

The new ESOPS and Stock Unit Schemes will be applicable to employees of the Company and its group of companies — including its subsidiaries and associate companies.

Under the ESOP plan, the total number of Options to be granted shall not exceed 16,00,000 (Sixteen Lakhs only) (will be proportionally adjusted in case of any corporate action(s) such as bonus issue etc.), being 0.334% of the paid-up equity share capital of the Company on a fully diluted basis as on the date of the adoption of the Plan.

Further, Shareholders approved the proposal of Employee Stock Option Plan 2022 with 92% voting in favour of the resolution. Moreover, Employee Stock Unit Plan 2022 received as many as 94% votes in favour of the resolution.

At around 12:04 PM, FSN E-Commerce Ventures Ltd is currently trading at Rs1,115.50 per share down by Rs12.35 or 1.1% from its previous closing of Rs1,127.85 per share on the BSE.

For feedback and suggestions, write to us at [e-mail]