Exclusive: NoBroker adds Rs 100 Cr worth options to ESOP pool

Brokerage-free real estate platform NoBroker has joined the ranks of many growth and late-stage startups which have expanded their employee stock options (ESOPs) pool. The Bengaluru-based firm has added over Rs 100 crore worth of options to its pool.

NoBroker has passed a resolution to increase their ESOP options to 27,023 from 19,600, regulatory filings with the Registrar of Companies (RoC) show. At the time of exercise, these options will be converted into equity shares.

According to Fintrackr’s estimate, the addition of new options is worth Rs 103 crore whereas the company’s total ESOP pool value stands at Rs 377 crore.

NoBroker was one of the 43 unicorns which got valued over $1 billion in 2021. The company raised $210 million led by General Atlantic, Tiger Global and Moore Strategic Ventures in November. The company also bought back Rs 32 crore worth ESOPs from 95 employees  (57% of its workforce at that time) in March.

NoBroker provides property (rental and buying) hunting on subscription along with ancillary offerings: home services, financial services and society management. It also enables rental payments using UPI and credit cards.

Over the past couple of years, expansion of employee stock options (ESOPs) and buyback has picked up. Over dozen growth stage startups including LEAP, Wiz Freight, Ather Energy, Ninjacart, Ecom Express, Pine Labs and VeGrow expanded their ESOP pool in 2022.

The rate of ESOP buybacks since 2021 have also increased multifold: the size of buybacks surged 8X to $440 million in 2021 when compared to 2020. In the first half of 2022, $175 million worth buybacks have been done, according to Fintrackr’s data.