ESOP Buybacks See 9,000+ Employees Make Over $158 Million in 2025

As the Indian startup ecosystem matures, employee stock ownership plans (ESOPs) continue to play a crucial role. They function both as a tool for attracting talent and as a means of wealth creation when companies repurchase vested options.  

The latest data from Inc42 indicates that ESOP buybacks remained significant in 2025, providing liquidity to thousands of employees even with a marginal decline in overall value compared with the previous year. 

Key Development: 2025 ESOP Buyback Statistics 

According to Inc42, 12 Indian startups completed ESOP buyback programmes. More than 9,265 employees were able to monetise their vested options, with a total value of ₹1,409 crore, equivalent to approximately $158 million. 

This is slightly lower than 2024, when 23 startups executed buybacks worth around ₹1,448 crore. 

Statements and Examples from 2025 Buybacks 

Several notable startups participated in the 2025 buyback cycle. Darwinbox conducted a buyback of approximately ₹86 crore, benefitting more than 350 employees across different locations.  

Dezerv, a wealth technology firm, repurchased vested stock worth about ₹46 crore for both current and former staff. In addition, PhonePe reportedly created a liquidity window valued between ₹700 crore and ₹800 crore for around 1,000 employees, contributing significantly to individual wealth creation. 

Read More: India’s B2C E-Commerce Startups Secure $1.3 Billion in Funding in 2025! 

Conclusion 

The ESOP buyback activity seen in 2025 reinforces the importance of stock ownership as a meaningful component of compensation in Indian startups. With more than ₹1,400 crore reaching employees across a dozen companies, these programmes continue to demonstrate their value as instruments for wealth creation and talent alignment. As the ecosystem evolves further, ESOP buybacks are expected to remain a key feature of retention strategies and a sign of increasing financial maturity across the startup sector. 

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions.  

Investments in the securities market are subject to market risks, read all the related documents carefully before investing