by Mike Dilts, CEO
On September 30, 2016 we announced that Shiel Sexton had officially become a 100% employee-owned company. This is an incredibly exciting moment in the history of the firm. It represents not only the next stage in ownership transition of the company, but also a tremendous opportunity for our employees.The importance of this date was recognized company-wide with special celebrations at all of our jobsites and office locations.
Since the company was founded in 1962 and incorporated in 1972, it has existed as a closely held company beginning with the Shiel and Sexton families, and extending to a small hand-full of others from there. Four years ago we began an Employee Stock Ownership Program (ESOP). The decision to begin an ESOP was the result of a several years-long investigation in to the best and most effective ways to pass ownership from one generation to the next. So many firms in our industry struggle with ownership transition in part because it is such a complex, expensive and slow moving process. As a consequence we see more and more local and regional firms in their first and second generation of ownership being gobbled up by large international conglomerates. We believe Shiel Sexton is special, and we wanted to avoid this type of fate. The ESOP approach turned out to be the ideal solution.
We are a great building company, and we want to continue to be great builders for generations to come. The ESOP structure allows a smooth and linear path for the company to continue to grow. It allows for talented young leaders to enter the company and prosper without limits. It allows the company to reward those employees who have contributed so much, while incentivizing things like innovation and achievement. The ESOP structure allows Shiel Sexton to be a financially stronger company that is more attractive to employees and a better place to work. I believe this makes us a better builder.
Check out this video from our 100% ESOP Celebration:
The SCOOP | October 2016 | More from this Issue