Flipkart—valued at approximately $35–36 billion—has unveiled a new $50 million ESOP buyback for its employees. The scheme, announced internally by CEO Kalyan Krishnamurthy, lets each eligible employee liquidate up to 5% of vested ESOPs earned between July 6, 2022 and July 5, 2025, at a fixed price of $174.32 per share. Payouts are scheduled for August 2025 and expected to benefit 7,000 to 7,500 team members
Strategic Context and Benefits
This latest ESOP event closely follows the massive $700 million payout Flipkart made in 2023—one of India’s largest ESOP buybacks ever. It not only rewards early employees but also boosts morale amid rising talent competition, particularly against rivals like Swiggy, Blinkit, and Zepto
What’s Next?
In his memo, Krishnamurthy indicated a second 5% liquidity window could open in early 2026, contingent on achieving 2025 performance goals. The move highlights Flipkart’s strategy to align employee incentives with future milestones, including its expected IPO in 2026 and ongoing corporate shift from Singapore to India
Why It Matters
- Employee retention: Liquidity options help Flipkart stay competitive and deter talent exits.
- IPO signaling: Fueling confidence ahead of public offering by allowing early return on equity.
- Market validation: A strong $36 billion valuation reflects investor faith and e-commerce strength.
Final Take
Flipkart’s $50 million ESOP buyback—priced at $174.32 per share—marks a strategic step toward rewarding employees, preparing for IPO, and retaining key talent. With another liquidity event planned for 2026, the move underlines Flipkart’s confidence in its growth and future market entry.
