Edtech unicorn Vedantu has announced its ESOP (employee stock ownership plan) liquidity programme worth $3 million for all eligible employees.
The founders will not participate in the buyback, but the top leadership and eligible active employees who have completed the vesting period will be able to liquidate their vested ESOPs.
Vamsi Krishna, CEO and Co-Founder, Vedantu said, “As Vedantu grows, we want our employees to grow with us, as they are equal contributors to this growth. ESOPs provide employees with high ownership, while providing more opportunities for financial growth. We want to enable long-term wealth creation for our employees and recognise their contribution and commitment. This is the first ESOP program to facilitate value creation for Vedans and we will continue to take more such initiatives in the future.”
Unicorn status
In September this year, Vedantu raised $100 million Series E funding from Singapore-based impact investing fund ABC World Asia. This round valued Vedantu at $1 billion, making it an edtech unicorn.
Vedantu offers tutoring courses for students between 3 to 18 years of age, along with test-prep classes for exams like IIT-JEE, NEET, Commerce, CBSE, and ICSE, among others. The company’s new vertical Superkids also offers extracurricular classes in English speaking, reading, and coding.
Vedantu claims to have recorded over 2,00,000 paying students last year, which was a 400 per cent growth over the previous year. As a result, the company also saw a 4.5x increase in its revenue over the previous year.