XYXX announces inaugural ESOP buyback with 6X premium for eligible employees
Employees who have completed their tenure at XYXX are eligible for this buyback, which offers a 6X premium on the allotted price with zero strike price.
Men's lifestyle label has announced its first-ever Employee Stock Ownership Plan (ESOP) buyback. The company introduced the stock option programme four years ago.
Employees who have completed their tenure are eligible for this buyback, which offers a 6X premium on the allotted price with zero strike price. The programme spans various levels, from senior managers to executive leadership.
In the context of ESOPs, the strike price refers to the predetermined price at which employees are granted the option to purchase company shares in the future. It is the price set at the inception of the ESOP, usually lower than the current market price, to provide employees with an opportunity to benefit from any increase in the company's stock value over time.
With the company's workforce more youthful, the youngest participant in the buyback is 31 years, with the average age of employees participating standing at 36 years, XYXX said in a statement.
"Announcing our first-ever ESOP buyback is a proud moment for the leadership team, and especially me. It reaffirms my belief in the collective success of Team XYXX and the pivotal role they have played in our growth story. As a new-age, consumer brand start-up, we stand tall with leading fintech, edtech and ecommerce brands when it comes to wealth creation options for our workforce," said Yogesh Kabra, Founder and CEO, XYXX.
Founded in 2017 by Yogesh Kabra, XYXX specialises in designing and manufacturing premium innerwear for men, including trunks, boxers, briefs, pyjamas, vests, and t-shirts.
In 2019, it received seed funding of Rs 2 crore from Sauce.vc and Govind Shrikhande, ex-MD of Shoppers Stop, joined as a Senior Advisor. Subsequent rounds saw substantial investment, including Rs 30 crore in Series A funding in 2021 and Rs 90 crore in Series B funding in 2022, with notable investors like DSG Consumer Partners and Singularity Opportunities Growth Fund.
The latest Series C funding round brought in approximately Rs 110 crore led by Amazon Smbhav Venture Fund.
Edited by Kanishk Singh