Pharmachem Labs' ESOP Completes Partial Buyback of ESOP Stock
Summit, NJ: Pilot Hill Advisors LLC announced today that the Employee Stock Ownership Plan of Pharmachem Laboratories has sold half of its shares. The proceeds from the sale will be professionally managed by an independent investment adviser retained by the ESOP trustee. Funded entirely by Pharmachem, this benefit represents a multiple of annual pay for the ESOP participants, on average. The company elected to reduce the ESOP’s ownership as part of a long-term ownership transition plan and to provide diversification inside the ESOP Trust. The ESOP will retain its remaining interest in Pharmachem stock for the foreseeable future.
New Jersey based Pharmachem Laboratories, Inc.( www.pharmachemlabs.com) is a premier international innovator, manufacturer and supplier of the finest quality ingredients. We deliver optimal solutions tailored to meet your needs across a complex matrix of industries including nutritionals, food and beverages, flavors and fragrances.
Bob Massengill, Managing Director of Pilot Hill Advisors has been working with Pharmachem and its ESOP since 1995. The first sale of stock to the ESOP was from one of its original shareholders who was beginning to transition out of the business. Since that time, the ESOP purchased additional shares and came to own a large, minority interest in the business.