General Employment Enterprises Inc.'s (AMEX: JOB) will sell a controlling stake in itself to PSQ LLC, and President and CEO Herbert Imhoff Jr. will resign, the company announced Monday.

The Oakbrook Terrace IL-based company will issue 7.7 million new shares of stock to PSQ for a total price of $1.9 million. PSQ will also buy up to 2.5 million of General Employment's outstanding shares of stock for 60 cents per share. The 2.5 million would represent almost half of the approximately 5.2 million shares stock the company had on Dec. 31.

Imhoff would step down, but continue to serve as a consultant for General Employment. Ronald Heineman will serve as CEO and president while Stephen Pence would serve as chairman.

Also, General Employment board members Sheldon Brottman, Edward Hunter, Thomas Kosnik and Kent Yauch would step down. They would be replaced by Pence, Charles "Chuck" Wardell III and Jerry Lancaster.

The tender offer for the shares will open by April 14 and remain open for 75 days.

General Employment posted revenue of $2.9 million in its fiscal first quarter ended Dec. 31, 2008. General Employment is one of the oldest firms in the staffing industry. It was founded in 1893.

Heineman agreed to an annual salary of $1 with a grant of 150,000 stock options, according to a filing with the U.S. Securities and Exchange Commission.

Pence, who will be the new chairman, served as lieutenant governor of Kentucky from 2003 to 2007, and was appointed as U.S. Attorney for the Western District of Kentucky in 2001, according to the filing with the S.E.C.