Cars24, one of the leading players in the pre-owned vehicles segment, has offered to buy up to 100% ESOPs (employee stock ownership plan) worth Rs 35 crore bringing festive cheer to its employees. Earlier this year, Cars24 offered fully vested ESOP to its employees equal to salary deduction they chose voluntarily. Cars24 is now offering 3.3X more value of contribution made by employees during voluntary salary deduction.
The initiative has been announced keeping in mind the support and trust that the employees showcased in the company during the difficult times. In an attempt to give back to its people, Cars24 employees can now liquidate 100% of ESOP granted against salary deduction. Besides that, employees have an option to cash out 30% of vested stocks issued prior as well.
Commenting on the announcement, Vikram Chopra, CEO and Co-Founder, Cars24 said, “2020 has been a difficult year for everybody with a lot of employees stepping in and contributing across the company. The ESOPs will help our employees enjoy the bonus and extra liquidity during the festive season after facing a tough time during the pandemic. At CARS24, empowering our employees has always been at the core of our values and this is our way of reciprocating the trust and loyalty that our people have reposed in the company.”
Cars24 has offered ESOP cash-out options in the past as well. Since inception, this is the third time the company is doing liquidation event of employee stocks.
As part of its ongoing expansion strategy, the company plans to strengthen its reach by launching its services in 200 cities by FY21 and intends to enhance its presence in 300+ tier 2,3 and 4 markets by 2021. Cars24 has been successfully closing a transaction of more than 15,000 cars per month and has recorded 110% growth in its business, the company says.