The iconic US synth manufacturer will soon be employee-owned.
According to the New York Times, Moog Music owner and CEO Mike Adams has unveiled an employee ownership plan to gradually transfer the ownership of the company to staff.
Workers will now own 49% of Moog Music as part of an employee stock ownership plan. The company can gradually buy out Adams’ remaining 51% stake over the next six years. Other Moog staff will be able to cash out on the shares they’ve accumulated upon retirement.
“This is like the ultimate pension plan,” Adams, 59, said in an interview. It’s also his path to retirement. “I’ve been looking for a way to get out,” he said. “This is my exit strategy.”
“I could sell the company tomorrow to a strategic buyer or V. C. outfit,” Mr. Adams added. “But I think we’ll continue to grow, and I think that second 51 percent will be worth even more.”
As a result of the plan, the company estimates that — should it continue to grow — a production employee who begins making $12 an hour could, with a decade of experience at Moog, receive a payout of around $100,000 upon retirement. [via New York Times]