Eternal founder Deepinder Goyal to return unvested ESOPs as he steps down as CEO

Eternal Ltd founder Deepinder Goyal said all of his unvested employee stock options will revert to the company’s ESOP pool as part of his transition away from the Group Chief Executive Officer role.

In a letter to shareholders on 21 January, Goyal said the move is aimed at strengthening long-term leadership retention while avoiding additional shareholder dilution.

“As part of this transition, all of my unvested ESOPs will revert to the ESOP pool,” Goyal wrote. 

“This ensures that Eternal continues to have meaningful wealth-creation opportunities for its next generation of leaders, while strengthening long-term retention without incremental shareholder dilution.”

The move has been welcomed by corporate governance experts as a strong signal of founder-led discipline and institutional maturity.

“The decision reflects strong founder-led governance and a long-term alignment with stakeholder interests. By allowing unvested ESOPs to revert to the company’s pool, the founder reinforces the principle that equity rewards should be earned through sustained value creation rather than tenure or position. It also expands the ESOP pool for current and future employees, strengthening retention, incentivisation and merit-based ownership," Aurelia Menezes, Partner, King Stubb & Kasiva, Advocates and Attorneys told Business Today.

"From a governance perspective, such a move signals confidence in institutional leadership, reduces perceptions of founder entrenchment, and aligns with best practices seen in mature, professionally managed companies,” Menezes added.

Goyal said his financial future remains closely tied to the company and aligned with long-term shareholder value creation.

“My financial future remains meaningfully tied to Eternal, and my incentives remain aligned with long-term shareholder value creation,” he said.

In a shareholder letter, Eternal, formerly known as Zomato, said Goyal will step away from his role as Group Chief Executive Officer, handing over day-to-day leadership of the food delivery and quick-commerce group to Blinkit CEO Albinder Dhindsa.

Goyal will remain on the company’s board as Vice Chairman, subject to shareholder approval, according to a letter sent to shareholders.