Cee Kay Supply’s 135 employees now own 49% of the company.
The family-owned independent distributor for industrial gases, welding equipment and dry ice on Wednesday (13th July) shared the news as part of its Employee Stock Ownership Plan (ESOP).
To assist in the transaction Cee Kay Supply engaged Prairie Capital Advisors as the financial advisor and Polsinelli law firm to assist in closing the transaction. The company has also appointed an independent ESOP trustee.
Commenting on the move, Tom Dunn, past CEO and Owner stated, “The employees have always been at the centre of growth and success for Cee Kay Supply.”
“As I explored transitioning out of ownership, the ESOP model was a great solution to preserve the brand and our family ownership legacy, while allowing future employees to directly share in the benefits of their hard work and long-term dedication.”
It is believed that due to increased employee involvement, ESOP companies generally have a superior track record compared to other companies.
Ned Lane, current CEO and President, added, “I am excited for our new employee owners. Normally when someone retires, they receive a gift from the company. With Tom’s retirement, he has given us the gift of independence & ownership by selling to the ESOP.”
The new employee owners of CK Supply will celebrate this company milestone together in August with a company picnic held at first generation owner Mim and Paul Dunn’s Lake property.