Northern Tree Services forms Employee Stock Ownership Plan

Northern Tree Services forms Employee Stock Ownership Plan

Northern Tree Services Inc., a Palmer, MA-based company, recently completed a transaction to become 100% employee-owned through a newly created Employee Stock Ownership Plan (ESOP).

Northern Tree Services Inc., a Palmer, MA-based company, recently completed a transaction to become 100% employee-owned through a newly created Employee Stock Ownership Plan (ESOP).

Since 1932, Northern Tree has provided a wide range of tree services to its customers, which includes utilities, property management companies, railroads, as well as state and municipal agencies.

Lazear Capital Partners worked with Northern Tree Services to design a custom solution that included employee benefits, financial flexibility, and maximal tax advantages.

CEO Phil Cambo chose to pursue an ESOP after discovering that it offers a perfect solution to address his responsibility to implement a succession plan, while simultaneously providing clear direction for the company's continued success. With the new ESOP in place, Cambo will work closely with the next generation leaders and gradually hand over the businesses' operational control.

Cambo will chair the ESOP's newly created board of directors along with Northern Tree's current President and CFO Tim Lamotte, and New Valley Bank President Jeff Sullivan.

Key Bank and Eastern Bank provided the transaction financing.

The Northern Tree Employee Stock Ownership Plan became effective on August 1st, 2020.