BOSTON–(BUSINESS WIRE)–Eastern Bank is pleased to announce it has provided the financing to facilitate Raycon Construction, LLC’s sale of 100% of its stock to a newly formed Employee Stock Ownership Plan (ESOP). Founded in 2007, Raycon Construction is one of the largest privately-owned concrete construction contractors in the Northeast. Eastern Bank is also providing a revolving line of credit to support the company’s ongoing financial needs. This financing builds on a long-standing business relationship, as Eastern Bank’s subsidiary Eastern Insurance Group LLC has provided commercial insurance to Raycon Construction for more than a decade.
“After assessing a variety of options, it became clear to us that the best way to take care of our loyal employees was via an ESOP,” said Sam Haddad, President and CEO of Raycon Construction. “Eastern Bank was attuned to our objectives, and structured and managed the financing of a transaction that far exceeded our expectations. Handling complex issues, such as analyzing and modelling the capital structure to ensure adequate cash flow to service the senior debt and seller notes, resulted in a healthy capital structure that will benefit current and future generations of Raycon employees.”
“Raycon Construction is pleased to begin a new banking relationship with Eastern Bank,” said Liana Haddad, Chief Operating Officer of Raycon Construction. “We are a growing family-run business with a goal of becoming one of the nation’s largest concrete contractors. It was important that the sale process to become an ESOP went smoothly and without disruption to our business. Eastern helped us achieve this and more, and we look forward to its continued support with our day-to-day banking and insurance needs.”
Greg Buscone, Executive Vice President, Senior Commercial Banking Officer of Eastern Bank, said, “Raycon Construction prides itself on delivering high quality projects, customer service, and safe working environments for its employees, and we have enjoyed supporting them through transitioning their family-run business to employee ownership.”
Eastern Bank provides a range of commercial financing offerings to help companies across many industries to improve cash flow, increase efficiencies and build for the future. Commercial lending solutions include working capital/lines of credit, equipment/term loans, real estate loans, acquisition financing, asset-based lending and employee stock ownership plan-related financing.
The Commercial Banking team advising Raycon Construction, LLC includes Executive Vice President, Senior Commercial Banking Officer Greg Buscone, Senior Vice President, Commercial Relationship Manager David Nussbaum, and Vice President, Commercial Portfolio Manager Benjamin Makowski. LockeBridge Capital Partners served as sell-side advisor to Raycon Construction throughout the management of the ESOP transaction.
About Eastern Bank
Founded in 1818, Boston-based Eastern Bank has more than 120 locations serving communities in eastern Massachusetts, southern and coastal New Hampshire, and Rhode Island. As of March 31, 2023, Eastern Bank had approximately $23 billion in total assets. Eastern provides banking, investment and insurance products and services for consumers and businesses of all sizes, including through its Eastern Wealth Management division and its Eastern Insurance Group LLC subsidiary. Eastern takes pride in its outspoken advocacy and community support that includes $240 million in charitable giving since 1994. An inclusive company, Eastern employs approximately 2,100 deeply committed professionals who value relationships with their customers, colleagues and communities. Join us for good at www.easternbank.com and follow Eastern on Facebook, LinkedIn, Twitter and Instagram. Eastern Bankshares, Inc. (Nasdaq Global Select Market: EBC) is the stock holding company for Eastern Bank. For investor information, visit investor.easternbank.com.
Eastern Bankshares, Inc.