MyGate Announces Esop Buyback, Extends Appreciation to Long-serving Employees
- ByStartupStory | March 8, 2024
Housing society management app MyGate has unveiled a stock buyback program for employees participating in its Employee Stock Ownership Plan (Esop). Employees across all roles and business verticals with over four years of tenure are offered the opportunity to cash out 20% of their vested shares.
The company, based in Bengaluru, cites its robust financial position and notable revenue increase as the driving factors behind this initiative. MyGate’s revenue from operations witnessed a substantial surge, growing over 77% to Rs 71 crore in FY23, up from Rs 40 crore in FY22.
“We achieved cash breakeven in November 2023 and are well capitalised to fund our future growth. This initiative is a small gesture of gratitude to those who spent substantial years with us and helped us reach this stature,” emphasized co-founder Abhishek Kumar.
Kumar further highlighted the company’s expanding advertising business, stating, “Our ad business is ramping up where we are curating advertisements for brands…which contributes 80-85% of the revenue.” Additionally, revenue is derived from the software as a service (SaaS) provided to housing societies.
The company projects a robust 38-40% year-on-year growth in FY24, according to Kumar.
Founded in 2016 by Abhishek Kumar, Vijay Arisetty, and Shreyans Daga, MyGate secured Rs 100 crore in a new funding round co-led by Urban Company and Acko in 2022.
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