MAHINDRA & MAHINDRA LTD. | Integrated Annual Report 2022-23

395 COMPANY OVERVIEW BOARD’S REPORT MANAGEMENT DISCUSSION AND ANALYSIS CORPORATE GOVERNANCE BUSINESS RESPONSIBILITY AND SUSTAINABILITY REPORT STANDALONE ACCOUNTS CONSOLIDATED ACCOUNTS 43. Employee Stock Option Plan (contd.) Summary of stock options Particulars No. of stock options Weighted average exercise price (Rs.) Options outstanding on 1 st April, 2022..................................................................................................................... 59,16,500 4.66 Options granted during the year .................................................................................................................................. 12,79,379 5.00 Options forfeited/lapsed during the year ............................................................................................................... 3,02,061 4.44 Options exercised during the year .............................................................................................................................. 11,80,694 4.09 Options outstanding on 31 st March, 2023.............................................................................................................. 57,13,124 3.67 Options vested but not exercised on 31 st March, 2023................................................................................ 20,32,636 4.36 Average share price on the date of exercise of the options are as under: Date of exercise Weighted average share price (Rs.) 01 st April, 2022 to 21 st March, 2023........................................................................................................................................................................................................ 1,217.04 Information in respect of options outstanding as at 31 st March, 2023 Range of exercise price Number of options Weighted average remaining life Rs. 2.50............................................................................................................................................................................................. 5,07,253 1.87 years Rs. 5.00............................................................................................................................................................................................. 52,05,871 4.58 years The fair values of options granted during the year are as follows: Grant Date No. of years vesting Fair value per options 27 th May, 2022 3 years Rs. 886.37 04 th August, 2022 4 years Rs. 1201.91 10 th November, 2022 3 years Rs. 1294.00 10 th February, 2023 2 years Rs. 1320.57 * 23 rd February, 2023 2 - 5 years Rs. 1275.83 The fair value has been calculated using the Black Scholes Options Pricing Model and the significant assumptions made in this regard are as follows: Particulars Grant dated 27 th May, 2022 (3 years vesting) 04 th August, 2022 (4 years vesting) 10 th November, 2022 (3 years vesting) 10 th February, 2023 (2 years vesting) * 23 rd February, 2023 (2 - 5 years vesting) Risk free interest rate (%).................................................................... 6.73% 6.90% 7.11% 7.28% 6.80% - 7.02% Expected life (in years)............................................................................ 4 years 4 years 4 Years 6 Years 0.55 - 5.36 Years Expected volatility (%)............................................................................ 37.59% 36.07% 37.34% 33.23% 33.62% - 46.04% Expected dividend yield (%)................................................................ 1.24% 0.92% 0.86% 0.64% 0.96% Exercise Price (Rs.)..................................................................................... 5 5 5 5 5 Stock Price (Rs.)........................................................................................... 886.37 1201.91 1294.00 1320.57 1275.83 * pursuant to MEML merger