Nature of the Event

Everest Industries Limited has disclosed the grant of stock options under its Employees Stock Option Scheme - 2021 (ESOS-2021) as a regulatory filing pursuant to Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015 and SEBI Master Circular No. HO/49/14/14(7)2025-CFD-POD2/I/3762/2026 dated January 30, 2026.

Key Quantitative Figures

  • Number of stock options granted: 95,000
  • Exercise price per option: ₹460
  • Total number of underlying equity shares: 95,000
  • Face value of each underlying equity share: ₹10

Dates of Action

  • Date of the Nomination and Remuneration Committee meeting approving the grant: October 22, 2026
  • The in-principle approval for the overall ESOS-2021 scheme was granted by the National Stock Exchange of India Ltd. on October 27, 2021 (Ref: NSE/LIST/28763) and by BSE Limited on November 16, 2021 (Ref: DCS/FL/TL/ESOP-IP/1654/2021-22).

Parties Involved

  • The granting entity is Everest Industries Limited.
  • The grant was approved by the company's Nomination and Remuneration Committee.
  • The options were granted to identified employees of the company.
  • The disclosure was signed by Amruta Avasare, Company Secretary & Compliance Officer (Membership No.: A18844).

Purpose or Rationale

The grant is part of the company's employee compensation and incentive plan, as outlined in its ESOS-2021 scheme.

Capital Structure Impact

The grant of 95,000 options is convertible into an equal number of equity shares (95,000 shares of ₹10 face value each). This represents a potential future dilution upon exercise of the options. The disclosure notes that the equity shares allotted upon exercise would not be subject to any lock-in period.

Vesting and Exercise Schedule

  • Vesting Schedule: The options vest over a three-year period.
  • 20% of the granted options vest after one year from the date of grant.
  • 30% of the granted options vest after two years from the date of grant.
  • 50% of the granted options vest after three years from the date of grant.
  • Exercise Period: The options may be exercised within a four-year window from the expiry of the respective vesting period.

Pricing Formula

The exercise price of ₹460 was determined as per the formula in the ESOS-2021 scheme, which is the lower of:

(i) The average closing price of the company's shares on the stock exchange for the two weeks immediately preceding the date of grant.

(ii) The closing price of the company's shares on the stock exchange on the date prior to the date of grant.

Significant Terms and Conditions

  • The scheme is administered by the Nomination and Remuneration Committee.
  • Grants are based on eligibility criteria defined in the scheme.
  • The scheme outlines specific provisions for handling options in cases of retirement, death, permanent incapacity, resignation, and termination of employment.

Financial Impact

Financial impact not quantified in the disclosure. The impact on the company's financials would occur in future periods when the options are exercised, resulting in a cash inflow equivalent to the exercise price multiplied by the number of options exercised and an increase in the share capital.

#Tags: #EverestIndustries #ESOP #SEBIDisclosure #RegulatoryCompliance #CorporateAction