Edward C. Renenger and Sean-Tamba Matthew Present at the 2024 NCEO Fall Forum

Edward C. Renenger, President and CEO of SES ESOP Strategies, presented on “The Myth of Unaffordable Repurchase Obligations” and Sean-Tamba Matthew is presenting on “Valuation Considerations in Acquisitions” at the 2024 NCEO Fall Forum, hosted by the National Center for Employee Ownership in Indianapolis, IN, on Sept. 18-20.

Ed and his panel explored the myth that companies become so successful that they cannot “afford” their repurchase obligations and are therefore forced to sell to a competitor. Speakers offered examples that stock value is tied to cash flows and show which cash flows can sustain their own repurchase obligations regardless of how large the value becomes. The panel also discussed various strategies that companies can use to ensure continued success in maintaining and growing cash flow to support these repurchase obligations, with a heavy emphasis on growth by acquisition.

Sean’s panel focused on the acquisition strategy and process of an ESOP-owned company, including the roles and responsibilities of professional advisors, the due diligence process and the use of earnouts and employment agreements. There was an additional focus on the duties of the board of directors and the trustee in the acquisition. Sean explored post-transaction responsibilities of the management team and board of directors.

View the program agenda.