TORONTO, ON / ACCESSWIRE / October 7, 2022 / HIRE Technologies Inc. (TSXV:HIRE.V)(OTCQB:HIRRF) (“HIRE” or the “Company“), a capital allocator focused on modernizing and digitizing human resources solutions, announces that it has entered into a definitive agreement to divest Vancouver-based Taylor Ryan Inc. to the vendors in the original transaction on October 7, 2022 (the “Transaction“). As a result of this Transaction, HIRE i) extinguishes a 2023 capital commitment of $9.7 million, and ii) expects to record a gain on sale in the fourth quarter.
The Transaction closed (“Close“) October 7, 2022 and is cashless. The purchasers (the “Purchasers“) received 100% of the shares of Taylor Ryan Inc., and will receive transitional services from HIRE. A gain on sale will be recorded in Q4-2022 along with an estimated reduction to current liabilities of $7.9 million in contingent remuneration and an estimated reduction in net assets of $4.8 million.
Prior to Close, the Company purchased certain receivables of Taylor Ryan Inc. in exchange for a $1.0 million secured 8% promissory note. The promissory note will rank junior to the Company’s senior secured lending facilities.
Leadership Changes
The Company has appointed Charlie Cooper to succeed Dan Teguh as Chief Financial Officer (“CFO“) effective October 7, 2022. Mr. Cooper is a very experienced CFO with many years of international business and public company experience guiding professional services companies. Mr. Teguh will stay with the Company until October 14, 2022 to facilitate the transition of his duties. The Company wishes Mr. Teguh well in his future endeavours.
About HIRE Technologies Inc.
HIRE is a growing capital allocator that is rapidly establishing itself as a market leader in workforce management and staffing. HIRE’s mission is to create a world-class portfolio of brands that will define the future of human resources through synergies, scale, and reach. The Company has extensive experience in building and growing staffing and executive search companies and is supported by a large recurring revenue base and a highly scalable shared services platform. This structure enables HIRE to create value for partners and shareholders. For more information, visit hire.company.
Contacts
Simon Dealy
Chief Executive Officer
(647) 264-9196
[email protected]
Caroline Sawamoto
Investor Relations
(647) 556-4498
[email protected]
Neither the TSXV nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this news release.
SOURCE: HIRE Technologies Inc.
