ESCO Corp. officials announced their company will remain a private entity, backing away from an initial public offering (IPO) after first registering common stock with the U.S. Securities and Exchange Commission in Q2 2011.
ESCO Chairman Steve Pratt said the move followed careful consideration. “Both the board and management team have concluded that the company’s impressive and increasing financial strength make an initial public offering unnecessary,” he said.
CEO Cal Collins concurred. “During the past two years, ESCO has achieved record sales, profits and profit margins, which afford us the ability to fund growth plans at a much lower cost than a new issuance of equity would offer,” he said.