Deepinder Goyal's Temple Launches ESOP Buyback at $375 Million Valuation

Temple, the wearable technology startup founded by Eternal founder Deepinder Goyal, has introduced an employee stock ownership plan (ESOP) liquidity programme for some of its early employees, according to a Moneycontrol report citing an internal company memo.

The report said around 20 employees, out of Temple's workforce of 200-220, will be eligible to sell up to 25% of their vested ESOPs under the programme.

The ESOP liquidity event values Temple at $375 million, nearly double the $190 million valuation at which the startup raised its seed funding in February this year.

Employees Offered Partial ESOP Exit

The ESOP liquidity programme is voluntary and is aimed at allowing eligible employees to realise part of the value they have helped create before the company's next funding round.

In the internal memo, Goyal said Temple was witnessing strong interest from outside investors at a $500 million valuation.

"We are seeing strong interest from external investors at a $500 million valuation. Before we close our next round, I want some of this value to reach the people who created it," Goyal said, according to the memo cited by the publication.

He added that eligible employees would have the option to sell up to 25% of their vested ESOPs at a $375 million valuation, while making it clear that participation in the programme is entirely optional.

Valuation Rises Ahead of Next Funding Round

According to the report, ESOP liquidity events are relatively uncommon for early-stage startups and are often conducted below the company's last funding valuation. Temple's programme, however, is being executed at a higher valuation as investor interest builds ahead of its next capital raise.

The development comes shortly after Moneycontrol reported that Temple is moving closer to its commercial launch. The startup has reportedly partnered with Ethereal Machines and Zetwerk to manufacture its wearable devices.

Temple had raised $54 million in a seed funding round, first reported in December and officially announced in February.

Strong Investor and Employee Backing

According to regulatory filings, Deepinder Goyal owns about 28% of Temple, while employees collectively hold around 10% through ESOPs.

Among institutional investors, Steadview Capital is the largest shareholder with a stake of just over 5%, followed by Peak XV Partners, which owns slightly more than 3%. Other investors include Vy Capital, QLT Technology, Masada Lake Enterprises, and NKSquared, the family office of Zerodha founders Nithin Kamath and Nikhil Kamath.

The report added that Eternal Group CFO Akshant Goyal is the largest angel investor with a stake of nearly 4%. Other angel investors include Vijay Shekhar Sharma, Varun Alagh, Abhiraj Singh Bhal, Kunal Shah, and Raj Shamani, who together own a small minority stake.