Automobile startup CarDekho offers second ESOP cash out for employees in FY20
Worth $3.5 million, this scheme has been floated by the startup for the second time this financial year. The first cash out saw CarDekho buying back ESOPs worth $2 million.
Jaipur-headquartered automobile classifieds startup CarDekho recently announced a secondary sale allowing eligible employees to cash out 50 percent of their vested options under Girnarsoft group’s ESOP Exercise.
According to the company, the cash out is estimated to be worth $3.5 million.
This is the second time that this scheme has been floated by the startup this financial year. The first ESOP cash out was announced in April 2019, in which CarDekho bought ESOPs worth $2 million.
In a statement, the startup said that the current discretionary ESOP cash out scheme is valid for both existing employees who have served two years and former employees who have served four years in the company and held vested options as of January 31, 2020.
Amit Jain, Co-founder and CEO of CarDekho, said,
“At CarDekho, we have always believed that our employees are our biggest asset and our most important investment. As technology is democratised its competitive advantages may diminish but it will be our employees who will continue to be our competitive advantage and key differentiating factor. Our success till date is a testimony of the great team we have built and this scheme is merely a way of thanking the employees for their significant contributions and dedication.”
Last December, CarDekho raised $70 million in a Series D round led by Ping An’s Global Voyager Fund, to strengthen its transactional business and expansion in Southeast Asia.
Sunley House Capital Management, a subsidiary of global private equity firm Advent International, also participated in the round along with existing investors Sequoia India and Hillhouse.
Operational in Indonesia with OTO.com, CarDekho entered the Philippines in November last year, by acquiring Carmudi Philippines.
Then, CarDekho claimed that it works actively with over 4,000 new auto dealerships and 3,000 used car dealers across India.
In addition, it also stated that it has collaborated with more than 10 financial institutions and 18 insurance companies across the country to facilitate used car financing and insurance to provide a seamless experience for both buyers and sellers.