FarEye announces ESOP liquidity programme
Logistics SaaS startup FarEye has announced a share buyback with an ESOP liquidation programme for its employees and the company said for the first time it has come out with such an initiative.
Under the scheme, eligible employees can liquidate up to 35 percent of their vested ESOP shares and FarEye has announced the distribution of $739,000 for the liquidation.
FarEye Founders (L-R): Gautam Kumar, Gaurav Srivastava, Kushal Nahata
On the programme, FarEye CEO Kushal Nahata said, “2020 has been a tough year for all of us. The liquidation programme is a reciprocation for the hard work of our employees. It is a small way of saying thank you to the team as they have been working day in and day out from their homes. We announced this liquidation to make employees partners in our success and to ensure they are able to create wealth for themselves and their families.”
FarEye joins the list of other startups that have announced ESOP buyback programme, including CRED, Zerodha, Urban Company, and Unacademy.
CRED Founder Kunal Shah during its latest fund raise recently had said, “As we raise funds to support our next phase of growth, it's important to acknowledge the role that employees have played in our success. We are committed to enabling wealth-creation opportunities for them and have allocated 10 percent of our cap table allocated for ESOPs even at the Series C stage.
Last year, FarEye raised $37.5 million in Series D funding to expand its services used by companies such as DHL, Walmart, Amway, and many other Fortune 500 companies.
The logistics startup said in the challenging year of 2020, its business has expanded significantly. It provides its expertise to industries across 3PL, Courier & Logistics, Food & Grocery, Restaurants, Retail, and CPG companies.
“The team has been able to generate significant liquidity for themselves, which gives us immense happiness and satisfaction. We are looking forward to expanding our team with exceptional talent in 2021 and will continue to roll-out programmes with similar benefits,” the FarEye CEO said.