Arohan Financial Services Limited | Annual Report 2021-22

178 | Annual Report | 2021-2022 Arohan Financial Services Limited Summary of significant accounting policies and other explanatory information for the year ended 31 March, 2022 (Contd.) (All amounts in ` lakhs unless otherwise stated) Note 25: Employee stock option scheme (‘ESOP Scheme’) Arohan ESOP Trust (‘ESOP Trust’) was formed on March 19, 2010 to promote participation of the eligible employees of the Company in the ownership and growth of the Company and to confer on them certain welfare benefits through the implementation of the welfare schemes. Pursuant to the shareholders’ approval in the meeting held on March 15, 2010 and April 27, 2018 (empowering the Board and Nomination and Remuneration Committee (NRC) to take any further decisions with regard to the ESOP schemes), the Board and Nomination and Remuneration Committee (NRC) has been authorized to issue employee stock options, that are exercisable into not more than 43,00,000 equity shares of the Company to eligible employees and has extended interest free loan to ESOP Trust under the Scheme to provide financial assistance to its employees to purchase equity shares of the Company under such the Scheme. Presently, stock options have been granted or shares have been issued under the following scheme: A. ES OP 2017 B. ESOP 2018 (grant 2018) C. ESOP 2018 (grant 2019) D. ESOP 2018 (grant 2020) E. ESOP 2021 (i) Employee stock option schemes: Particulars ESOP 2017 ESOP 2018 (grant 2018) ESOP 2018 (grant 2019) ESOP 2018 (grant 2020) ESOP 2021 Date of Grant 29-Aug-17 16-May-18 16-May-19 04-Aug-20 05-Jun-21 Date of Board approval 19-May-17 27-Apr-18 15-May-19 26-Jun-20 04-Jun-21 Date of committee meeting where grant of options were approved 19-May-17 27-Apr-18 18-Feb-19 26-Jun-20 04-Jun-21 Date of shareholders’ approval 29-Aug-17 15-May-18 18-Mar-19 03-Aug-20 08-Feb-21 Number of options granted 2,29,280 5,97,264 7,69,528 8,42,858 9,82,867 Method of settlement Equity Equity Equity Equity Equity Vesting conditions 1. Continued employment with the Company on relevant date of vesting 2. Board may specify certain performance criteria 1. Continued employment with the Company on relevant date of vesting 2. Board may specify certain performance criteria 1. Continued employment with the Company on relevant date of vesting 2. Board may specify certain performance criteria 1. Continued employment with the Company on relevant date of vesting 2. Board may specify certain performance criteria 1. Continued employment with the Company on relevant date of vesting 2. Board may specify certain performance criteria Vesting period 12 months from date of grant of option 36 months from date of grant of option 36 months from date of grant of option 36 months from date of grant of option 36 months from date of grant of option Exercise period 2 years from the date of vesting or Initial Public Offer listing by company, whichever is later 1 year from the date of vesting or Initial Public Offer, whichever is later For KMP: 1 year from the date of vesting or Initial Public Offer listing date plus 4 months, whichever is later ForOther than KMP: 1 year from the date of vesting or Initial Public Offer listing date plus 3 months, whichever is later For KMP: 1 year from the date of vesting or Initial Public Offer listing date plus 4 months, whichever is later For Other than KMP: 1 year from the date of vesting or Initial Public Offer listing date plus 3 months, whichever is later For KMP and others: 2 year from the date of vesting or Initial Public Offer listing date, whichever is later