Employee stock ownership plans (ESOPs) continued to generate liquidity opportunities for employees in India’s startup ecosystem during 2025. Recent industry data indicates that buyback programmes remained active through the year, offering payouts to a large number of employees across multiple companies.
ESOP Buyback Trends in 2025
As per data compiled by Inc42, a total of 12 startups executed ESOP buyback initiatives in 2025. These programmes enabled 9,265 employees to liquidate vested stock options, representing a total value of ₹1,409 crore, or approximately $158 million.
In comparison, the previous year recorded 23 startups conducting buybacks worth approximately ₹1,448 crore.
Notable ESOP Buybacks During the Year
Several startups initiated buybacks in various formats during 2025. Key examples include:
- Darwinbox: Conducted a buyback of nearly ₹86 crore, covering more than 350 employees.
- Dezerv: Repurchased vested ESOPs worth approximately ₹46 crore for current and former team members.
- PhonePe: Created a liquidity event reported to be valued between ₹700 crore and ₹800 crore for around 1,000 employees.
These transactions covered a range of operational models, including tender offers, repurchase windows, and structured liquidity programmes.
Summary:
In 2025, ESOP buybacks across 12 Indian startups enabled more than 9,265 employees to liquidate vested options worth ₹1,409 crore (~$158 million). Major contributors included PhonePe, Darwinbox, and Dezerv, reflecting continued use of ESOP-linked liquidity programmes across the startup space.
Disclaimer:
This article is intended solely for educational and informational purposes. The securities or companies mentioned are provided as examples and should not be considered as recommendations. Nothing contained herein constitutes personal financial advice or investment recommendations. Readers are advised to conduct their own research and consult a qualified financial advisor before making any investment decisions.
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