Manufacturer reveals motive behind employee ownership move

Contract electronics manufacturer Tioga has revealed the motivation behind the firm transferring to employee ownership.

Last month, it was announced that the Derby firm, which works with the energy, medical and aerospace sectors, had implemented an Employee Ownership Trust (EOT), backed by a funding package from HSBC.

The deal sees the three companies within the Tioga Group – Tioga Limited, Tioga Design Services and Sixis Technology – become part of the newly formed Tioga EOT.

According to the group, the transition ensures long-term business stability and the continuity of experienced leadership, placing employee engagement and shared success at the heart of its future.

It has been driven by a desire to preserve the company’s values, protect its independence, and reward the people who have played a key role in its success to date.

The operational structure remains unchanged, meaning customers and suppliers will continue working with the same trusted teams and leadership.

Andy Grimmett, chief executive at Tioga Limited, said: “This step secures the future of our group for the long term – for our customers, our suppliers, and most importantly, our people.

“Employee ownership allows us to continue building on our legacy, while empowering staff with a greater sense of ownership and investment in everything we do.”

A newly appointed board of trustees has been formed, made up of existing board members and an elected employee representative, ensuring the group is governed for the benefit of all employees.

Warwick Adams, who founded Tioga Limited in 1996 now serves as group chairman and will remain on the board of trustees to support this next chapter of growth.

He said: “This transition is a proud moment for me personally, and for all of us across the Tioga Group.

“It ensures that the company remains in the hands of the talented and dedicated people who helped build it. I have every confidence in the team’s ability to carry our shared vision forward.”

The EOT model also provides a platform for staff to benefit from future tax-efficient bonus payments and strengthens the group’s employee-first culture, which has been key to its enduring customer relationships and technical excellence.

Dean Hallam, group chief financial officer and trustee of Tioga EOT, said: “We’re excited about what this means for our teams and our customers.

“Becoming employee-owned gives us the best of both worlds – continuity and stability, with fresh motivation and shared ambition.”