Stanley lifestyles Limited has announced the grant of 5,70,000 Employee Stock Options (ESOPs) to Mr. Venkataramana Seshagirirao Gorti under the company's ESOP Plan 2022. The grant was communicated to stock exchanges on February 12, 2026, in compliance with regulatory disclosure requirements.

ESOP Grant Details

The comprehensive ESOP grant encompasses significant value for the recipient, with each option convertible into equity shares of the company. The grant structure demonstrates Stanley Lifestyles' strategic approach to employee incentivization and retention.

Vesting and Exercise Framework

The ESOP grant follows a structured timeline designed to align employee interests with long-term company performance. The vesting schedule requires sustained commitment from the option holder.

Regulatory Compliance

The ESOP grant adheres to established regulatory frameworks governing employee stock option schemes in India. Stanley Lifestyles confirmed compliance with SEBI regulations in its disclosure to exchanges.

Key compliance aspects include:

• Alignment with SEBI (Share Based Employees Benefits and Sweat Equity) Regulations, 2021
• Disclosure requirements under Regulation 30 of SEBI LODR Regulations, 2015
• Adherence to SEBI Master Circular guidelines dated January 30, 2026

Strategic Implications

The substantial ESOP grant represents Stanley Lifestyles' commitment to attracting and retaining key talent through equity participation. The 5-year vesting period ensures long-term alignment between employee and company interests, while the 6-year exercise window provides flexibility for option holders.

The exercise price of Rs. 184.91 per option, based on the prevailing market price, ensures fair valuation at the time of grant. This pricing methodology reflects transparent and market-driven option valuation practices.

Stanley Lifestyles Limited has submitted its quarterly compliance report to stock exchanges, confirming no deviation in the utilization of Initial Public Offering proceeds for the quarter ended 31st December 2025. The statement was filed under Regulation 32 of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.

IPO Proceeds Overview

The company's IPO, completed on 28th June 2024, originally raised INR 181.085 crore. However, the net proceeds have increased to INR 183.937 crore as of 31st December 2025, representing an enhancement of INR 2.852 crore due to actual issue-related expenses being lower than initially estimated.

Fund Utilization Status

The company reported no deviation or variation in the use of funds raised through the IPO. The proceeds continue to be allocated across the originally planned objectives without any changes to the terms of contract or objects approved by shareholders.

Subsidiary Investment Focus

The largest portion of IPO proceeds has been allocated toward subsidiary investments for store expansion and renovation. The funds are being utilized for opening new stores under the formats of "Stanley Level Next", "Stanley Boutique", and "Sofas & More by Stanley". Additionally, the company is investing in anchor stores and renovating existing retail outlets under these brand formats.

Compliance and Monitoring

The fund utilization is being monitored by ICRA Limited as the designated monitoring agency. Both the Audit Committee and auditors have provided nil comments on the fund utilization, indicating compliance with the original IPO objectives. The revision in general corporate purposes allocation reflects the actual lower issue-related expenses compared to estimates.

Corporate Governance

The quarterly statement was signed by Rasmi Ranjan Naik, Company Secretary & Compliance Officer, and submitted to both NSE (Symbol: STANLEY) and BSE (Code: 544202). The company continues to maintain transparency in IPO proceeds utilization through regular quarterly disclosures as mandated by SEBI regulations.