Tata's Titan To Buy CaratLane's ESOPs
Titan, the Tata Group company that agreed to buy CaratLane founder Mithun Sacheti's stake in the omnichannel jewellery retailer for Rs 4,621 crore, is expected to buy employee stock options (ESOPs) held by CaratLane employees for around Rs 340-350 crore, or about $42 million, according to a media report.
The company employs over 1,700 people, and its ESOP pool owns approximately 1.5 per cent of the company. Titan will own 98.28 per cent of CaratLane after purchasing Sacheti's 27.18 per cent interest in the company. CaratLane was valued at Rs 17,000 crore, or around $2 billion, in the acquisition.
According to a report, the remaining ownership is held by current and former CaratLane employees, as well as Titan senior management personnel.
Titan first acquired a 62 per cent share in CaratLane in 2016 for around Rs 563 crore. It acquired shares in the omnichannel retailer in tranches between 2016 and 2019, paying a total of Rs 440-450 crore, increasing its holding to more over 70 per cent.
