Dutta can exercise 25 per cent of that at the end of first year, 35 per cent at the end of second year, and the remaining in December 2023 when his current tenure ends.
IndiGo has proposed to issue 185,000 shares worth to Chief Executive and Whole-time Director Ronojoy Dutta under the company’s Employee Stock Option Plan (ESOP).
The shares that can be exercised at a price of Rs 765 apiece is worth Rs 14,15,25,000.
Dutta can exercise 25 per cent of that at the end of first year, 35 per cent at the end of second year, and the remaining in December 2023 when his current tenure ends.
This is over and above Rs 11.9 crore of compensation that has been paid to Dutta by the company till December 31.
Dutta is also entitled to a commitment bonus of Rs 3.7 crore.
The remuneration package was approved by the company’s shareholders in the Annual General Meeting of FY20 in September.
The company, citing the reason to give ESOP to Dutta, said the board felt IndiGo is one of the leading airlines in the world that doesn’t grant stock options to its CEO.
Photograph: Vivek Prakash/Reuters
