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Corporate & Other Laws
Can anyone explain this?
Answers (3)
This provision requires a one-year minimum waiting period between the grant of stock options and their vesting under an Employees stock option scheme. However, if an employee had already been holding stock options under an employees stock option scheme of another company before a merger or amalgamation with the first mentioned company, the period during which they held those options can be adjusted against the one-year minimum vesting period. This means they may not have to wait the full year before being able to exercise their options granted by the merged entity.