On November 6th, according to informed sources, Xiaohongshu has launched a new round of option repurchases. The repurchase price is $21.2 for current employees; Resignation of employees costs $17.5.
It is understood that this is Xiaohongshu's second option repurchase this year. In April, Xiaohongshu just launched its first large-scale option repurchase in company history, with repurchase prices of $11.5 for current employees and $9.4 for departing employees. In just six months, the repurchase price has almost doubled, with an increase of 84% for current employees and 86% for former employees.
Meanwhile, in mid October, Xiaohongshu announced an increase in option prices, which will take immediate effect. After the increase, the grant price of Xiaohongshu options is $25 per share, the exercise price is $2 per share, and the earnings per share are $23. This is the third time Xiaohongshu has adjusted the option price this year. The grant price in March was $13.5 per share, and it was adjusted to $18 per share in June.
In addition, before the May Day holiday, Xiaohongshu also pioneered the cancellation of non compete agreements for employee resignations, allowing departing employees to no longer be constrained by non compete agreements when choosing opportunities. At the same time, it also opened up option redemption for frontline employees at a lower price and shared the value of the company's growth with a wider range of classmates.
