Geldards help award-winning construction company Carreg Construction transition to an Employee Ownership Trust
Geldards, one of the leading advisors on Employee Ownership Trusts, has advised Pembrokeshire specialist construction company Carreg Construction on the transition to an Employee Ownership Trust (EOT).
Established twenty years ago, Carreg Construction is a bespoke construction company operating across west Wales whose emphasis is on extremely high quality building projects, blending both modern technologies and traditional heritage building skills. Their unique approach and high standard of workmanship has earned them numerous awards and they have worked on prestigious landmark buildings such as St David’s Cathedral and Oriel y Parc Gallery.
Geldards advised Carreg Construction and holding company Trearched Holdings Ltd on the formation of an Employee Ownership Trust (EOT) and the purchase by the EOT of the company.
The company decided that the move to an Employee Ownership Trust model, where the ownership of the business is handed over to employees and managed by the trustees, was the best way to secure the future of the business. Growing in popularity, Employee Ownership Trusts are an alternative to the sale of a business on the open market, and can help retain a skilled and loyal workforce while maintaining business continuity during the transition.
The Geldards team supported Carreg Construction through the transition to Employee Ownership Trust, advising on all aspects of the share purchase and the formation of the Trust. A vital role in the deal was ensuring the employees were fully engaged in the process and understood the impact of becoming employee owned.
Geldards’ Tax Partner Andrew Evans led the deal advising on all legal aspects of the transaction, supported by Corporate Solicitor Jamie East. Associate Henry Bright advised on the property elements of the deal and Solicitor Henry Smith-Higgins supported on Intellectual Property matters.
Commenting on the transaction, Andrew Evans, Partner at Geldards said:
“It was a pleasure to work with Andrew and Amy at Carreg Construction to guide the directors and the employees through the process to becoming employee owned. The purchase by an employee ownership trust will enable the highly skilled workforce to continue with their award winning construction projects with minimal disruption to the business.”
Andrew Phillips, Director at Carreg Construction commented:
“Becoming an EoT enables our business to continue creating beautiful and award-winning buildings in west Wales and also importantly retains our highly skilled workforce. This form of succession allows us to ensure the business continues and thrives for many years to come. Geldards have assisted us every step of the way with unambiguous guidance and depth of knowledge of their subject and we are very grateful to Andrew and his team.”