Generally, employees can purchase company stocks at a discount of around 5-15 per cent of the market value under the ESPS.
Employee stock purchase scheme (ESPS) or employee stock purchase plan (ESPP) is a scheme under which the company offers shares to employees as part of a public issue or otherwise. This is an employee stock purchase program that allows participating employees to buy the stock of the company at a discounted price.
Generally, employees can purchase company stocks at a discount of around 5-15 per cent of the market value under the ESPS. However, this may vary from company to company.
Which company is planning ESPS?
Non-banking financial company (NBFC) Paisalo Digital, in which state-run Life Insurance Corporation of India (LIC) and SBI Life Insurance have stakes, has announced that its board is scheduled to meet later this week to consider a proposal for the allotment of equity shares under the employee stock purchase scheme.
According to an exchange filing, the board meeting is scheduled to take place on February 28, 2025.
“We would like to inform you that the meeting of Operations and Finance Committee of the Board of Directors of Paisalo Digital Limited is scheduled to be held on February 28, 2025 to consider and approve the allotment of shares under Company’s PDL ESPS 2024 in accordance with terms of SEBI (Share Based Employee Benefits and Sweat Equity) Regulations, 2021,” the filing reads.
LIC, SBI have stakes in this BSE SmallCap company
As per data available on the NSE, SBI Life Insurance and LIC own 9.9 per cent and 1.4 per cent stake, respectively, in Paisalo Digital.
Earlier, the NBFC firm said it has serviced over 59 lakh customers by initiating transactions worth more than Rs 3,400 crore.
This has been achieved within two years with its strong network of business correspondents’ collaborations with prominent banking partners, including State Bank of India (SBI) and Bank of India, Paisalo Digital said in a statement.
