Choate Construction Company says it is transferring beneficial ownership, becoming 100 percent employee owned through the newly created Choate Employee Stock Ownership Plan (ESOP) Trust for current and future employees.
“Choate is a tight-knit family, and we truly care for each other,” says Millard Choate in a news release. “We were solicited continuously over the years by larger contractors to sell the company, but we decided to keep the business in the family, to perpetuate our culture of excellence.”
“We are blessed to be able to implement this structure to express our dedication to our exemplary employees. This will provide individual financial security as well as preserve the entrepreneurial spirit that has always permeated this company. The ESOP allows us to take this spirit to the next level, while also ensuring our vision, core values, and management team stays intact.”
Millard Choate will transition from the position of president to chairman and chief executive officer (CEO), and Dave Priester will assume the role as president and chief operating officer (COO). The management team will remain intact.
“Upward mobility and career advancement are extremely important,” Millard said in the statement. “The ESOP allows for both seamless management succession and future opportunity.”
Choate says in the statement that its financial condition will remain strong. Both of the contractor’s bonding companies have endorsed and given full support of this transaction.
The ESOP transition was announced to more than 450 employee-owners at a Dec. 15 celebration.