
Flipkart ESOP payout worth $700M
Any news on who is getting it, what's like an average payout for eligible employees? As per the news article, approx 19000 employees are getting it. Anyone has insider info?

Got around 3CR

What's your designation

Tech Architect

I know a friend got 5 lakh after a year
But that's all peanuts. VP in Flipkart get enough to buy 5-6 villas. And don't even get me started on SVPs

How much they get paid any idea ? I thought only in isa based companies vp can make millions

*usa

Lots of people seem confused how this payout works due to PhonePe and Flipkart Group (including Flipkart, Cleartrip, Myntra, etc),
Adding detailed context on this payout works below:

- This payout is a result of two events combined: (i) demerger of PhonePe from Flipkart Group (ii) solo valuation of PhonePe being higher than its valuation when it was a part of the group.

In simple terms:
- Imagine you owned a group F0 worth 100 which had several companies including a company P.
- Now P leaves the company, and is valued 40 in the market on its own.
- Meanwhile F1 (i.e. F0 without P) is valued at 80. (It decreases)
- But as per market the fair value of F0=F1+P=80+40 =120 now. (Which is 20 more than the earlier value of F0 100)
- So the original owner of F0 is given balance 20, and is left with F1 ownership worth 80.

I heard the top 10%got 20-25%of the 700mill.
Assuming, 150mil / 200=0.75mil for the top.
Distribution is like reverse pyramid