Mumbai-based B2B e-commerce and supply chain enablement platform Bizongo has announced the completion of its first Employee Stock Ownership Plan (ESOP) monetization program worth $3.7 million.
While 102 of Bizongo’s former and current employees were eligible for the buyback, only 70% of employees opted to liquidate ESOPs from the pool worth $4.8 million.
Through this move, the startup aims to create wealth for employees and give them a chance to benefit from the growth achieved since last year. Considering that Bizongo’s valuation has taken flight over the years, employees were able to generate significant wealth,” the statement said.
“The buyback further helped employees to build a second source of income and enhance their financial planning. The company will also use the buyback to build world-class teams and acquire more talent,” it added.
Speaking on the buyback program, Ankit Tomar, Co-founder & CTO at Bizongo said, “Bizongo has witnessed hyper-growth in revenue over the past few years and this is a direct outcome of the hard work and dedication of CULTivators (Bizongo employees, who together form the organizational culture – CULT).”
“Our employees are an invaluable asset and partners, who have helped us achieve newer heights and remain profitable even during the pandemic. Today, we are a market leader in the customized goods category and this ESOP repurchase is our little way of sharing our success and growth with all who have been a part of Bizongo’s journey so far,” Tomar added.
The ESOP buyback comes on the heels of the platform’s recent entry into the unicorn club and a fundraise of $110 million in a Series D round led by Tiger Global Management, among others.