Nuvama Wealth Management Limited has officially approved the grant of 93,930 Employee Stock Appreciation Rights (ESARs) to its eligible employees. This initiative is part of the ‘Nuvama Wealth Employee Stock Appreciation Rights Plan 2024’. The grant, authorized on May 11, 2026, aligns with the company’s commitment to incentivizing talent and rewarding key contributors through equity-linked benefits, subject to specific vesting and exercise conditions outlined in the company’s plan.
Incentivizing Employees via ESARs
On May 11, 2026, Nuvama Wealth Management Limited announced the approval of 93,930 Employee Stock Appreciation Rights (ESARs). These rights are granted to eligible employees under the umbrella of the ‘Nuvama Wealth Employee Stock Appreciation Rights Plan 2024’. This strategic move is designed to align employee interests with long-term shareholder value creation.
Plan Terms and Settlement Structure
The granted ESARs function as an equity-linked incentive. Once the ESARs have vested, holders are eligible to exercise them within a window of 2 years. Upon exercise, the employees will be entitled to receive the appreciation in value for the specified number of equity shares.
The settlement of this appreciation will be facilitated through the issuance of equity shares of the company. To receive these shares, the employee is required to pay the determined exercise price and settle any applicable taxes as per the provisions of the plan. The ESAR price itself is determined by the Nomination and Remuneration Committee, based on the average of the daily opening and closing prices of the equity shares over the 20 trading days prior to the grant date.
Source: BSE
