Nykaa allots 1.60 lakh shares to employees under Employee Stock Option Scheme

Nykaa Employee Stock Option Scheme: FSN E-Commerce Ventures Limited, the parent company of Nykaa on October 30, 2022, allotted 1,60,245 Equity Shares of face value Re. 1/- each towards the exercise of vested Employee Stock Options under FSN Employee Stock Option Scheme 2017 (“ESOS 2017”).

The equity shares so allotted under the ESOS 2017, shall rank pari-passu with the existing equity shares of the Company in all respects including dividends. Consequent to the above allotment, the paid-up share capital of the Company stands increased to Rs. 47,47,12,615 from Rs. 47,45,52,370.

Nykaa has changed the record date for the issuance of bonus shares. Nykaa bonus share ex-date would also change accordingly. The shares of Nykaa on Monday surged over 12 per cent to the day's high of Rs 1,103.35 after investors bought the stock on dips. Nykaa recovered from the crash when the shares plunged over 62 per cent from its record high of Rs 2,573.70 recorded in November 2021.

Company had on October 3 approved the issuance of bonus shares to its existing shareholders in the ratio of 5:1. It means that Nykaa shareholders will get 5 bonus shares for every one share. Nykaa stock price slipped below the IPO issue price of Rs 1125 on Monday.

Nykaa's initial public offering (IPO) was subscribed to 81.78 times, mainly driven by huge interest from institutional investors. It was listed at a premium of 80 percent and had crossed an M-cap of Rs 1 lakh crore. Since then, it has been a steep downfall for Nykaa till it outperformed on Monday. The stock has more than halved this year, including a 20 percent drop in October itself.

Nykaa was founded by Falguni Nayar in 2012. The shares of the Mumbai-based company were listed on NSE and BSE on November 10 last year at Rs 2001, a premium of 77.87 per cent. Nykaa IPO was subscribed 81.78 times and the price band was fixed at Rs 1,085-1,125 per share.