Page 231 - Annual Report 2019-20

Notes forming part of the consolidated financial statements Notes forming part of the consolidated financial statements 229

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b) Fair value of share options granted Inputs into the model Granted Granted on 29 January
on 13 May 2020-ESOP 2016
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The fair value of the stock options has been estimated using Black-Scholes model which takes into account as of grant 2019-ESOP
date the exercise price and expected life of the option, the current market price of underlying stock and its expected 2016
volatility, expected dividends on stock and the risk free interest rate for the expected term of the option. Share price (on the date previous to grant date) 1,154.45 1,461.60 1,461.60 1,461.60 PIDILITE ANNUAL REPORT 2019-20
Inputs into the model Granted on Granted on Granted on Granted on Granted on Granted on Exercise price 1.00 1.00 1.00 1.00
27 July 29 January 29 July 29 July 9 Novem- 8 Novem-
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2015-ESOS 2016-ESOS 2016-ESOS 2016-ESOP ber 2016- ber 2017- Date of vesting (1) 13.05.2020 31.01.2021 18.11.2022 31.01.2021
2012 2012 2012 2016 ESOS 2012 ESOP 2016 Dividend yield (%) 0.84 0.74 0.74 0.74
Share price 544.95 556.80 751.60 751.60 691.40 758.55 Option life (no. of years) 2.50 4.01 5.80 4.01
(on the date previous to grant date)
Risk free interest rate (%) 7.03 6.15 6.39 6.15
Exercise price 1.00 1.00 1.00 1.00 1.00 1.00
Date of vesting (1) 10.04.2017 29.01.2017 29.07.2017 29.07.2017 09.11.2017 08.11.2018 Expected volatility (%) 23.06 23.69 24.49 23.69
Dividend yield (%) 0.91 0.93 0.79 0.74 0.89 0.85 Date of vesting (2) - - 18.11.2023 31.01.2022
Option life (no. of years) 3.50 3.50 3.50 2.50 3.50 2.50 Dividend yield (%) - - 0.74 0.74
Option life (no. of years) - - 6.80 5.01
Risk free interest rate (%) 8.07 7.80 7.39 7.28 6.73 6.69
Expected volatility (%) 52.17 54.46 21.51 17.70 20.94 22.12 Risk free interest rate (%) - - 6.43 6.39
Date of vesting (2) 10.04.2018 29.01.2018 29.07.2018 29.07.2018 09.11.2018 08.11.2019 Expected volatility (%) - - 24.56 23.76
Dividend yield (%) 0.97 1.21 0.85 0.79 0.96 0.91
c) Movements in Share Options during the year
Option life (no. of years) 4.50 4.50 4.50 3.50 4.50 3.50
Particulars During the year ended During the year ended
Risk free interest rate (%) 8.07 7.80 7.56 7.39 6.93 6.64
31 March 2020 31 March 2019
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Expected volatility (%) 52.17 54.46 24.25 21.51 23.94 24.01 Options Weighted Options Weighted
Date of vesting (3) - 29.01.2019 - - - - (No.s) average (No.s) average
exercise exercise
Dividend yield (%) - 1.27 - - - - price per price per
option option
Option life (no. of years) - 5.50 - - - -
Option outstanding at the beginning of the year
Risk free interest rate (%) - 7.80 - - - -
- ESOS 2012 - 1 1,19,400 1
Expected volatility (%) - 54.46 - - - -
- ESOP 2016 3,15,750 1 79,000 1
Granted during the year
Inputs into the model Granted on Granted on Granted on 23 January
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11 April 30 October 2019-ESOP 2016 - ESOP 2016 12,500 1 2,95,700 1
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2018-ESOP 2018-ESOP
2016 2016 Vested during the year - ESOS 2012 - 1 1,10,500 1
Share price (on the date previous to grant date) 1,000.15 961.55 1,152.80 1,152.80 1,152.80 Vested during the year - ESOP 2016 1,55,850 1 47,200 1
Exercise price 1.00 1.00 1.00 1.00 1.00 Exercised during the year - ESOS 2012 - 1 1,19,400 1
Date of vesting (1) 11.04.2019 30.10.2019 23.01.2022 29.01.2021 01.02.2021 Exercised during the year - ESOP 2016 1,45,500 1 48,550 1
Dividend yield (%) 0.62 2.54 0.84 0.84 0.84 Lapsed during the year*
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Option life (no. of years) 2.50 2.50 6.00 5.02 5.02 - ESOP 2016 (granted on 29 July 2016) - 1 1,000 1
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Risk free interest rate (%) 7.09 8.01 7.56 7.49 7.49 - ESOP 2016 (granted on 8 november 2017) 2,400 1 3,500 1
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Expected volatility (%) 21.65 23.20 24.34 23.87 23.86 - ESOP 2016 (granted on 11 April 2018) - 1 5,000 1
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Date of vesting (2) 11.04.2020 30.10.2020 23.01.2023 29.01.2022 01.02.2022 - ESOP 2016 (granted on 30 October 2018) 9,500 1 900 1
Dividend yield (%) 0.66 3.62 0.84 0.84 0.84 Options outstanding at the end of the year 1,70,850 1 3,15,750 1
PIDILITE ANNUAL REPORT 2019-20 Expected volatility (%) 23.59 30.10.2021 23.01.2024 24.32 24.30 - ESOS 2012 41,13,500 1,331.62 41,14,100 1,239.18
- ESOP 2016
Option life (no. of years)
6.03
6.02
3.50
7.00
3.50
Options available for grant
7.56
8.02
7.28
7.58
Risk free interest rate (%)
7.56
1
34,200
1
34,200
24.37
23.24
1
1
- ESOP 2016
-
-
Date of vesting (3)
-
The weighted average share price at the date of exercise for
-
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Dividend yield (%)
0.84
-
4.82
stock options exercised during the year
-
8.00
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Option life (no. of years)
-
4.50
7.65
8.15
* Lapsed due to termination of employment with the Group.
-
Expected volatility (%)
-
-
The Company has allotted 3,300 equity shares on 10 June 2020 of face value of 1/- each under Employee Stock Option
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228 Risk free interest rate (%) - 24.34 24.40 - - Range of exercise price for options outstanding at the end of the year 1 1
Plan - 2016 to the employees of the Company and its subsidiaries to whom the options were granted.