News Update

Zypp Electric Announces ESOP Buyback, Allocations Totaling Rs 1.5 Crore to 15 Employees

• ByStartupStory     |    July 28, 2023

Zypp Electric, the pioneering electric vehicle (EV) service platform, has set a new precedent by becoming the first company in its segment to offer an Employee Stock Ownership Plan (ESOP) buyback in India. In a milestone move on July 27, the company allocated Rs 1.5 crore to 15 employees who have been part of the organization for over a year, under the ESOP buyback plan. This initiative reflects Zypp Electric’s commitment to empowering its workforce and fostering a culture of shared success.

The ESOPs are extended to select employees as options to purchase the company’s equity shares, offering them a stake in the company’s growth. These options are especially valued by employees who have served a pre-defined time or exercise period. Furthermore, the company has the flexibility to buy back the ESOPs at any time, provided the stockholders are willing to sell.

Akash Gupta, Co-founder & CEO of Zypp Electric, expressed his enthusiasm for the ESOP buyback program, stating, “I have always believed in the potential of ESOPs within the team, although it initially had few takers. Our aim is to continue such initiatives in the future as well; it’s just the beginning. Making millionaires is a dream I see, and it is equally important for me to ensure that my team members achieve prosperity as we foray into building the EV revolution, eventually rewarding our employees with financial benefits linked to the company’s achievements.”

The allocation of ESOPs has allowed employees to realize individual values of up to Rs 50 lakh, affirming the value and growth potential of Zypp Electric. This strategic move fosters a sense of ownership, loyalty, and motivation among team members, setting a positive trajectory for the company’s continued success.

Vishwajeet Singh, AVP of Marketing & Design at Zypp Electric, applauded the company’s initiative, stating, “It’s great to have liquidity coming in as a reward for diligence and motivation for the tenure ahead.”

Since its founding in 2017, Zypp Electric has revolutionized last-mile delivery for local merchants and e-commerce companies with its fleet of over 16,000 EVs on the road. The recent announcement to add 200,000 EVs to its fleet in the next three years with an investment of $300 million underscores Zypp Electric’s commitment to advancing the EV ecosystem in India.

With plans to expand into new cities like Mumbai, Pune, and Hyderabad, Zypp Electric aims to achieve a revenue target of Rs 500 crore this year, marking a significant growth trajectory from Rs 125 crore in the previous year.

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