To exercise ESOPs, staff of listed cos can pledge shares in trading window closures
- Posted on May 9, 2026
- By Business News Today
- 1 Views
- 1 min read
To exercise ESOPs, staff of listed cos can pledge shares in trading window closures
Employees exercising stock options can now pledge shares for funds during trading window closures, thanks to a Sebi clarification. This provides regulatory comfort for bona fide transactions, aiding employees who rely on financing to exercise vested options. However, lenders invoking pledged shares will still face contra-trade restrictions.
