South Indian Bank Grants 27.36 Lakh ESOPs to 306 Employees

South Indian Bank’s board approved the grant of 27,36,230 employee stock options to 306 eligible employees during a meeting held on August 20, 2026. These options are designated as part of the non-cash variable pay for the fiscal year 2026.

This grant falls under Tranche 21 of the SIB ESOS Scheme 2008 and fully complies with Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations 2015, alongside the SEBI (Share Based Employee Benefit and Sweat Equity) Regulations 2021.

Key Financial Details of the ESOP Grant

• Total Employee Stock Options Granted: 27,36,230
• Number of Eligible Employees: 306
• Exercise Price per Option: ₹22.50
• Market Price Reference (NSE, August 19, 2026): ₹45.00
• Discount Offered: 50% to the market price
• Option Premium (Black-Scholes Model): ₹30.96 per option

The exercise price for these options is set at ₹22.50, representing a 50% discount from the market price of ₹45.00. This market price reflects the NSE closing price as of August 19, 2026.

An independent registered valuer determined the option premium to be ₹30.96 per option. This valuation utilized the Black-Scholes model, consistent with guidelines provided by the Reserve Bank of India.

Understanding the Vesting and Exercise Process

The vesting schedule for these employee stock options is structured in three distinct tranches over a three-year period, commencing from the grant date. This phased approach ensures a gradual realization of benefits for the employees.

• 30% of options vest after 12 months from the grant date.
• An additional 30% of options vest after 24 months from the grant date.
• The remaining 40% of options vest after 36 months from the grant date.

Employees are permitted to exercise these options within a five-year window following their respective vesting dates. If all granted options are fully exercised, they will convert into 27,36,230 new equity shares, each maintaining a face value of Re.1.