Axis Bank Revises Vesting Period for Employee Stock Options

Axis Bank's board of directors has revised the vesting schedule for 185,537 stock options granted under the Axis Bank Employees Stock Option Scheme – 2000-01. The decision, based on directions from the Reserve Bank of India and recommendations from the Nomination and Remuneration Committee, was made on July 24, 2025.

Revised Vesting ScheduleVesting Year

Percentage of Options

Year 1 (from grant date)

25%Year 2

25%Year 3

25%Year 4

25%

Details of the RevisionThe revised vesting schedule will allocate 25% of the options each year over a four-year period, commencing after one year from the grant date. This replaces the previous vesting schedule of 30%, 30%, and 40% at the end of the first, second, and third years, respectively. All other terms and conditions of the grants, including the exercise price, remain unchanged.Background and RationaleThe revision was prompted by directions received from the Reserve Bank of India and was further supported by the recommendations of the Nomination and Remuneration Committee. The board approved the changes on July 24, 2025.Impact on EmployeesThe revised vesting schedule will affect the distribution of stock options for the specified grant, providing a more evenly distributed vesting over four years. This change aims to align with regulatory guidance and ensure a balanced approach to employee stock option vesting.