Godrej Consumer offers 2.5 million equity to employees

Godrej Consumer Products Ltd has approved issue of fresh equity shares of up to 2.5 million of face value Re1 each to eligible employees of the company under the Employee Stock Grant Scheme 2011.

The issue is subject to the approval of shareholders, the company said in a filing with the Bombay Stock Exchange (BSE).

Employees will be entitled to exercise the options within a period of 2 years beginning 30 October 2010 for converting the options granted into equity shares.

The issue of shares under the options scheme would be at an exercise price of Rs417.50 (the closing price of the equity on NSE on 29 October 2010) plus interest not being less than the bank rate prevailing at the time of exercising the options), the company said.

Currently the interest chargeable is 9 per cent per annum and the same is subject to review by the Compensation Committee from time to time, it added.

The options will lapse if not exercised within the specified exercise period, it added.