Overview
Founded in 1992 in Framingham, MA, before moving to Exeter, NH, Waldron Engineering and Construction, Inc. (Waldron or the Company) has grown into a national provider of custom-engineered, full-service energy solutions to clients across multiple industries. From institutional heating and cooling facilities to full-scale power generation stations, the Company brings a depth of capabilities in mapping the technological, financial, regulatory and environmental parameters that shape an energy project, designing and engineering the energy distribution systems, constructing projects and commissioning and performance testing for commercial operation. Waldron’s owners credit the dedication and technical proficiency of their employees in creating the collaborative culture that drove success across more than three decades.
Situation
Determined to maintain the employee-focused values that have fueled business, Terence Waldron, CEO, and John Sweet, President, recognized the need for a transformative succession strategy. They prioritized preserving the Company’s unique culture, rewarding the commitment of their employees, supporting the long-term growth of the business and its professionals and ensuring a seamless transition of leadership. After comprehensive evaluation of business transition strategies, they felt that adoption of a 100% employee stock ownership plan (ESOP) would best achieve these business goals and position employees for sustained success in the years ahead.
Solution
Waldron engaged SES ESOP Strategies along with its affiliated law firm, Stevens & Lee, to structure the new ESOP plan and guide the Company through the transaction process. SES led the feasibility study, financial due diligence, and modelling of the ESOP transaction, as well as negotiations on the management and transaction terms. Attorneys from Stevens & Lee helped to prepare the ESOP transaction, related documents and worked to create a Stock Appreciation Rights Plan that will reward future company leaders.
“Our most valuable asset is our people, and it was our top priority to reward their dedication and maintain the culture that defines and drives the way we do business,” said Terence Waldron, CEO of Waldron Engineering and Construction, Inc. “SES and Stevens & Lee provided critical guidance on the technical and transactional details of this momentous succession plan, and it’s with their help that we established the path for our employees to hold an ownership stake in what has become their business.”
For more information on this transaction, please contact Rick Weed, Sr. Vice President, at 617.603.8965, Mark Russell, Head of Finance, at 817.566.101, Vince Capone, Sr. Vice President, at 215.508.7716, or Nathan Stoner, Jr. Financial Analyst, at 484.651.1081.