Urban Company grants stock options worth Rs 5.2 Cr to 500 service partners
In March 2022, Urban Company launched the Partner Stock Option Plan to award shares worth Rs 150 crore to thousands of service partners.
Urban Company on Monday said it has granted stock options worth Rs 5.2 crore to around 500 partners across India under the Partner Stock Option Plan (PSOP).
In a statement, said it is working towards creating a diverse and inclusive partner ecosystem as well as increasing the representation of women in the firm. To this end, 30% of the PSOP recipients are female partners from the beauty and wellness vertical. Further, among the cities, Bengaluru had the most number of partner shareholders at 26%, followed by Delhi NCR (22%), Mumbai and Pune (together accounting for 16%) and Hyderabad (15%).
Earlier this March, the company had announced that it plans to grant stock options worth Rs 150 crore to thousands of service partners over the next 5-7 years at near zero cost. It set up an evergreen trust to manage the PSOP program.
The company has received board approval for the first tranche of Rs 75 crore worth of stocks to be disbursed over the next few years. Seven partners, who were part of the first cohort of stock recipients in March, received it again for the second time, due to their consistently high performance.
"This is just the start and we are hopeful that in the coming years, the numbers will rise to thousands," said Abhiraj Bhal, Co-founder and Chief Executive Officer (CEO) Urban Company.
According to the recently released H1 2022 UC Earnings Index, the top 20% of UC partners earned an average of about Rs 38,000 per month, net of commissions, fees, and other costs.
Edited by Akanksha Sarma