SC Staffing Franchisor digs deeper into executive recruitment.work

A Berkeley County company that operates a nationwide staffing business has completed an acquisition that expands its foothold in the executive recruitment industry.

Goose Creek-based HireQuest Inc. said it completed the purchase of certain assets of MRINetwork Inc. earlier this month. The deal valued him at $13.5 million before considering working capital adjustments.

The deal, announced on November 16th, was funded with a combination of cash and credit.

Headquartered in Delray Beach, Florida, MRI is said to be the third largest executive recruiting network operator in the world. The company’s divested business assets include 232 US and international franchise offices that generated approximately $283 million in annual sales as of September 30.

HireQuest CEO Rick Hermanns said the acquisition will give his company Lowcountry “immediate scale” in the managerial hiring space, complementing its two existing staffing brands.

“For more than 50 years, MRI franchisees have provided exemplary service to their customers, and we look forward to providing them with the additional tools and support they need to extend their success in the future,” said Hermanns. He said in a written statement on the day of the contract. Announced.

Bert Miller, Chief Executive Officer of MRI, said the new ownership “is the perfect partner to further develop our corporate and leadership team and, most importantly, provide our franchisees with more resources, a wider It’s about providing scope, and the ability to grow your business.

Since early 2022, HireQuest has completed several acquisitions, including two companies that specialize in executive-level jobs in New York and Philadelphia.

Springhall Drive became a Nasdaq-listed company under the symbol HQI through a merger about three years ago. The company says its network of franchisee-owned offices in 38 states and the District of Columbia provides jobs to 75,000 workers annually, mostly in blue-collar and service industries.

HireQuest reported that net income remained flat at about $9.7 million for the third quarter, while revenue increased 39% to $27 million. Approximately 77% of revenue comes from royalties paid by franchisees, with the remainder coming from company-owned staffing agencies and service fees.

HireQuest’s stock hit a 52-week high of $20.85 nearly a year ago. They were trading around $16.78 on Tuesday.

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