Employees take ownership of long-established yarn manufacturer
A West Yorkshire-based yarn manufacturer has become an employee-owned business.
Laxtons Specialist Yarns was founded in 1907 by George Laxton and Gordon Holmes.
Headquartered in Baildon, the company has expanded to supply yarns to clients across the UK and in over 20 overseas markets.
James Laxton and his family, the fourth generation owner and managing director, have passed on full control of the business to its workforce thanks to the creation of an Employee Ownership Trust (EOT).
Management says they hope the transition into employee ownership will drive the business forward, retaining its culture and Yorkshire identity while putting all 30 employees at the heart of decision making.
The EOT also means employees will now hold an indirect stake in the business.
James Laxton, managing director since 2001 will continue in his role under the new model, ensuring a smooth transition to employee ownership.
Carly Smith (sales and marketing director designate) and Paulius Ramanauskas (operations director designate) have also been appointed director designates to lead Laxton’s new direction.
Laura Marks and Martin Cooper from the Share Plans and Reward team, alongside Tim Parr, at audit, tax and consulting firm RSM UK advised on the deal, providing structuring and tax advice.
Marks, associate director at RSM UK, said: “Working with James and the team, we recognised the importance of finding a solution which supported their long-term ambitions while retaining the company’s Yorkshire history and legacy, as well as preserving its culture for the future.
“The transition to employee ownership reflects the company’s commitment to its people by empowering them to actively contribute to its future.
“It has been a pleasure to advise the company, and I’m sure it will flourish with the employees sharing in its success.”
James Laxton added: “This transition presents an extraordinary opportunity for everyone here at Laxtons Specialist Yarns.
“It not only secures our legacy but also ensures our skills and dedication to this industry will thrive for generations to come.
“RSM UK has played a crucial role in shaping the future of Laxtons. Together we’ve built something meaningful, and I look forward to what we will continue to accomplish together.”
