Swiggy is planning to go public soon and has offered to exercise our ESOPs at a certain valuation. This is not a buyback, so we will have to pay taxes on the exercised shares. Is it worth exercising now or should I wait for the IPO? I will only gain from this if the IPO price is higher than the exercise price, otherwise I will end up paying more tax. Did Zomato have a similar offer before its IPO? If so, what was the best option for its employees?
Sentiment for zomato in the markets have finally improved so can expect a good IPO for Swiggy. Especially if they do it in the next two quarters.
Do check if you have to wait for a year to get gains from IPO
Why won’t people just buy Zomato. Why invest in Swiggy
I'm not talking about post IPO. I want to know if it has increased or decreased right before IPO.
Basically if I exercise now I'll have to pay X amount of tax based on current valuation. If the valuation increases before IPO then that would be gain for me. But if the valuation decreases while filing for IPO then I'd already paid more tax.
At what price are they letting to exercise? Is it at FMV or close to the last valuation of 10.7bn?
You will also be able to hold the ESOP for more than a year and you will be able to claim LTCG on the value difference when you sell the shares.
I left Swiggy a year ago and have some vested stocks. Since the company is going IPO, I still haven't received information of exercise my ESOPs. Anyone knows if exercising vested stocks for precious employers is before or after IPO
If he gives me ESOPs worth the CEO's shares then sure I would have an entrepreneurial mindset.
Putting Zypp Electric in Never Apply list
Would you rather sell at a devaluation and access liquidity or hope that next buy back allows you greater rewards?
