Unacademy launches ₹50 crore ESOP buyback to provide employee liquidity amid strategic reset

Edtech company unacademy has launched a ₹50 crore ESOP buyback program, giving current and former employees a chance to cash out their shares in the private startup despite a slow exit market.

Co-founder and CEO Gaurav Munjal said on social media that the board has approved a cash pool for the ESOP buyback, even though the company’s current valuation is “much lower than our last fundraising round.”

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Under the program, eight employees will receive over ₹1 crore each, 17 will get more than ₹50 lakh, and 38 will receive over ₹10 lakh, Munjal said. The company will contact eligible participants in the coming weeks to start the process.

The ESOP buyback is part of Unacademy’s efforts to reward and retain talent amid a slowdown in the edtech sector, where lower valuations and fewer deals have made cashing out shares harder. In India, ESOP buybacks are becoming a common way for private companies to let employees realise value before potential IPOs or acquisitions.

Unacademy’s move comes alongside operational changes, including shifting from company-run offline centres to franchise partnerships and updating ESOP exercise policies to balance employee expectations with strategic restructuring.

In 2025, at least 12 Indian startups conducted ESOP buybacks, allowing over 9,200 employees to cash out a total of ₹1,409 crore (about $158 million) from vested stock options.

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