Allcargo Logistics sets 2.99 crore-share ESOS 2026 framework

Allcargo Logistics Limited disclosed for ESOS 2026 a pool covering 2.9955569 crore shares and listed 2.32 crore options for grant. Each option carries a right to apply for one share, while the exercise price is set at face value on the grant date and cannot be below face value.

How large is the Allcargo Logistics ESOS 2026 pool?

Allcargo Logistics has disclosed an ESOS 2026 pool covering 2,99,55,569 shares, or 2.9955569 crore shares, and total options to be granted of 2,32,00,000, or 2.32 crore options. The annexure therefore reports a pool figure and a separate proposed-grant figure. It does not explain why the pool is larger than the disclosed options-to-be-granted number or give a grant timetable.

Each option gives an option grantee the right to apply for one Allcargo Logistics share under the scheme terms and applicable law. On that one-for-one basis, the 2,99,55,569-share pool identifies the shares covered by ESOS 2026, whereas 2,32,00,000 is specifically identified as the total options to be granted. The disclosure records no vested, exercised, lapsed or cancelled options at this stage.

Who can receive Allcargo Logistics ESOS 2026 options?

The supplied ESOS 2026 annexure does not identify employee categories, subsidiaries, group companies, associate companies or individual recipients eligible for grants. It refers only to an option grantee and states that the exercise price will be specified in the grant letter issued at the time of grant. The annexure consequently does not state how many people may participate in the 2.32 crore proposed options.

Allcargo Logistics says ESOS 2026 is in terms of the SEBI (SBEB) Regulations, 2021, as identified in the filing. It also says the committee may prescribe the vesting schedule for a particular grant, provided it remains within the one-year minimum and four-year maximum vesting period. No first grant date, allocation by employee category, recipient count or annual grant cap is provided in the supplied pages.

What price and vesting terms apply to Allcargo Logistics options?

Allcargo Logistics says the exercise price per option will be the face value of its shares on the grant date and cannot be less than face value. The grant letter will specify that price for each option grantee. As the supplied annexure does not disclose the share face value in rupees, it does not permit a calculation of proceeds from exercise of the 2.32 crore listed options.

Options under ESOS 2026 will vest no earlier than one year and no later than four years from the grant date. The committee can set an individual grant's schedule within those boundaries. Vesting and exercise are separate stages: an option may be exercised for up to four years from each vesting date, rather than for four years from the original grant date.

What happens to Allcargo Logistics options that are not used?

Allcargo Logistics says an option that remains unaccepted, expires, lapses, is forfeited or is cancelled automatically returns to the ESOS 2026 pool. The returned option can then be made available for future grants within the overall scheme limits. The filing does not report any such event at this stage, because options lapsed are marked not applicable.

A vested option normally has an exercise window of no more than four years from the relevant vesting date. In the event of death or permanent incapacity, the committee may allow an extra exercise period of up to 12 months from the original prescribed exercise period. The extension is discretionary, so the filing does not establish an automatic 12-month entitlement for every affected option grantee.

Can Allcargo Logistics change ESOS 2026 after grants are made?

Allcargo Logistics says the body identified in the filing as GNRC may revise ESOS 2026 terms and terms of options already granted, provided any amendment, alteration or variation is not detrimental to an option grantee's interest. The company may also vary ESOS 2026 to meet a regulatory requirement without seeking shareholder approval through a special resolution. The annexure does not identify a current amendment or a change to any existing grant.

The disclosure marks diluted earnings per share from option exercises as not applicable at this stage. It also marks options vested, options exercised, money realised on exercise and options lapsed as not applicable. Those classifications align with a scheme disclosure that lists a 2,99,55,569-share pool and 2,32,00,000 proposed options but does not report exercises or vesting events.

What does the difference between the pool and grants show?

Allcargo Logistics reports 67,55,569 more shares in the ESOS 2026 pool than in the 2,32,00,000 options listed for grant. This is a comparison of two figures in the same annexure, not a disclosed explanation of future allocation. The filing does not state whether the difference is reserved for later grants, reflects a separate administrative feature, or will be used on a specified date.

The scheme does provide a mechanism for options that are unaccepted, expired, lapsed, forfeited or cancelled to be added back to the pool for future grants. However, that recycling mechanism does not explain the initial 67,55,569-share difference in the annexure. Any interpretation beyond the disclosed pool, planned-grant and recycling provisions would require information not contained in the supplied pages.

Conclusion

Allcargo Logistics has disclosed the operating terms of ESOS 2026: a 2,99,55,569-share pool, 2,32,00,000 options listed for grant, one share per option, and an exercise price fixed at face value on the grant date or higher. The scheme separates vesting, which must occur between one and four years after grant, from exercise, which may continue for up to four years after vesting.

The next matter to watch is the issue of grant letters, because they will specify the exercise price and vesting schedule for each grant. The filing also leaves unresolved the reason for the 67,55,569-share difference between the disclosed pool and options to be granted, while allowing unused options to return to the pool within the scheme's overall limits.