Flipkart has launched a $50 million employee stock buyback program, potentially benefiting 7,000 to 7,500 staff members.
The announcement comes as the Walmart-backed e-commerce giant gears up for a potential IPO filing in 2026, and prepares for its flagship Big Billion Days sale later this year.
The buyback will allow eligible employees to liquidate up to 5% of their vested Employee Stock Options (ESOPs) from July 6, 2022 to July 5, 2025, at a fixed price of $174.32 per option.
Payouts are scheduled for August 2025, and all active employees as of July 5, 2025 are eligible.
Flipkart ESOP Legacy: $1.5 Billion Returned Since 2018
This latest buyback adds to Flipkart’s impressive ESOP track record.
Flipkart executed a $700 million buyback in 2023, marking the largest ever by an Indian internet firm.
This surpassed its earlier $500 million buyback in 2018, which followed Walmart’s acquisition.
In total, Flipkart has returned approximately $1.5 billion to employees through ESOP programs over the past seven years.
CEO Kalyan Krishnamurthy, in a note to employees, emphasized that the initiative is not just financial but a recognition of innovation, agility, and execution.
He added that if Flipkart meets its key performance goals by year-end, another 5% ESOP liquidity event could be unlocked in early 2026.
IPO Preparation and Quick Commerce Expansion
Flipkart’s buyback announcement supports its broader strategy to retain top talent. The move is especially timely amid rising attrition in the fast-growing quick commerce sector.
The company’s Flipkart Minutes unit is scaling rapidly, with plans to operate 800 dark stores by the end of 2025.
Kalyan highlighted that core businesses are performing well and that the company is focused on AI-driven customer experience innovations, particularly for Gen Z consumers.
The ESOP buyback acts as a morale booster for Flipkart employees ahead of its anticipated IPO.
The company is currently valued at $35 billion and has a workforce of approximately 22,000 people.
ESOPs as a Retention Tool in a Competitive Market
Flipkart’s decision reflects a growing trend across India’s startup ecosystem. ESOP buybacks are now widely adopted as tools to retain and reward top talent.
Other firms like Urban Company, Meesho, Darwinbox, and Classplus have also executed similar programs in the past year.
Kalyan concluded his message by urging employees to “rally together” and “innovate boldly,” reminding them that past success is a foundation—not a guarantee—for future achievements.
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