Godawari Power & Ispat Limited has allotted 1,44,395 equity shares under its Employee Stock Option Plan 2023 (GPIL ESOP-2023) following approval by the Nomination and Remuneration Committee through circular resolution on July 17, 2025, at 12:55 PM. The allotment generated ₹1,67,78,699 in cash at an exercise price of ₹116.20 per share, increasing the company’s paid-up share capital from ₹66,92,58,978 to ₹66,94,03,373.
Strategic Employee Stock Option Implementation
The allotment encompasses shares from two distinct grants under the GPIL ESOP-2023 scheme, with the first grant contributing 1,35,595 shares and the second grant adding 8,800 shares during this exercise. The first grant originally comprised 44,31,280 options granted on January 15, 2024, with 15,13,750 options vested on January 15, 2025, bringing total allotments under this grant to 4,03,995 shares.
The second grant consisted of 2,99,040 options granted on March 18, 2024, with 1,04,670 options vested on March 18, 2025, resulting in cumulative allotments of 24,438 shares. Combined across both grants, the company has now allotted 4,28,433 equity shares to eligible employees since the scheme’s inception.
Pricing Structure and Stock Split Impact
The exercise price of ₹116.20 per share reflects the impact of the company’s stock subdivision, where each equity share of ₹5 face value was split into five equity shares of ₹1 face value each. Prior to the stock split, the exercise price stood at ₹581 per share, determined through a 25% discount to market price based on volume-weighted average pricing methodology.
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The pricing formula considers the higher of thirty-day or ten-day volume-weighted average market prices preceding the grant date, ensuring fair valuation aligned with market conditions. This employee-friendly pricing structure supports talent retention while maintaining alignment with SEBI (Share Based Employee Benefits and Sweat Equity) Regulations, 2021.
Vesting Schedule and Future Exercise Timeline
The ESOP-2023 scheme follows a graduated vesting schedule with 35% of eligible options vesting on the first anniversary, 35% on the second anniversary, and the remaining 30% on the third anniversary of the grant date. Once vested, employees have three years to exercise their options, providing flexibility for optimal timing decisions.
The newly allotted equity shares rank pari-passu with the existing equity shares, according to the regulatory report submitted by Company Secretary Y.C. Rao under Regulation 30 of the SEBI Listing Regulations.
Disclaimer: The information provided is for educational purposes only and does not constitute financial advice. Please conduct your own research and consult a qualified advisor before making investment decisions. Any investment decisions you make based on this information are solely at your own risk.
