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Tracxn Allocates 3.6 Lakh ESOP Shares: Insights and Impact

7 July, 20242 min read

Recently Tracxn Technologies announced to allocates 3.6 lakh shares under its ESOP.

This move is significant for the company and its employees, as it represents a substantial addition to their compensation packages.


Value of Shares.

The prices of these shares was INR 3.5 Cr at the time of stock last closed. This valuation reflects the company's growth potential and the confidence it has in its workforce.

The allocation of these shares is part of Tracxn strategy to retain and motivate its employees.

Exercise Period for Stock Options

Tracxn has provided its employees with a flexible period to exercise their stock options.

The company stated that the stock options can exercised within a period of five years from their date of vesting.

This extended window allows employees to choose the most advantageous time to convert their options into shares, depending on market conditions and their financial goals.

Financial Performance

Despite the positive news about the ESOP allocation, Tracxn's financial performance in FY24 has raised some concerns.

The profit of Tracxn saw a massive decline and decrease 80% year to year and currently it reached to 6.50 Cr.


This significant drop in profit is a stark contrast to the company's earlier performance, indicating challenges that Tracxn needs to address.

Impact on Employee Morale

The allotment of shares under the ESOP plan is likely to have a positive impact on employee morale.

By providing employees with ownership in the company, Tracxn is fostering a sense of belonging and investment in the company's future.

This move can help in retaining top talent and ensuring that employees are motivated to contribute to the company's growth.

Strategic Importance

The strategic importance of the ESOP plan cannot be understated. In a competition time its talented and retaining employees plays a important role in success of any business or company.

Attracting talented and retaining employees in business can be a important task for every company success.

By offering stock options, Tracxn is positioning itself as an attractive employer, which can help in attracting new talent and retaining existing employees.

Future Outlook

In reference to future Tracxn need to face and resolve challenges due to which its profit regularly declining.

The company will likely focus on strategies to improve its financial performance while continuing to invest in its employees through initiatives like the ESOP plan.

The balance between employee satisfaction and financial health will be critical for Tracxn’s long-term success.

Author Note

In short, Tracxn recently allocates 3.6 lakh shares under its ESOP plan which is a significant step towards motivating its workforce and fostering a sense of ownership among employees.

However, the company must also address its financial challenges to ensure sustainable growth and profitability in the future.

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