EX-99.4
6
exh994pressrelease.htm
ADDITIONAL EXHIBITS
exh994pressrelease
HireQuest, Inc. Closes Acquisition of LINK Staffing
Acquires 35 Franchised Locations in Nine States,
Further
Expanding Franchise Opportunity to Include Traditional Commercial
Staffing
GOOSE CREEK, South Carolina
- March 23, 2021 -
HireQuest, Inc. (Nasdaq: HQI), a national franchisor of on-demand
and temporary staffing services, today announced that its
subsidiary, HQ Link Corporation, has closed the acquisition of the
franchised operations of LINK Staffing, a family-owned staffing
company based in Houston, Texas, for approximately $11.1 million in
cash. The transaction does not include working capital. The 35
acquired locations generated approximately $57 million in
system-wide sales in 2020.
"On
the heels of the recent acquisition of 47 locations from Snelling
Staffing, a 67-year-old staffing company, we have rapidly expanded
our presence in commercial staffing, creating an additional revenue
stream for HireQuest", commented Rick Hermanns,
HireQuest's President and Chief Executive Officer.
"Just as importantly, the combined branch networks of LINK
and Snelling will create a dynamic platform from which we believe
we can grow our commercial staffing business organically. Most of
the LINK locations are expected to be rebranded under the
well-respected Snelling name".
Through
the Snelling and LINK acquisitions, HireQuest added 82 locations
before any location sales, that produced $144 million in
system-wide sales for a total consideration of $28.4 million before
working capital adjustments. HireQuest subsequently sold five
locations to a third party and divested ten California offices in
exchange for a continuing trademark license royalty.
HireQuest
funded the LINK acquisition with existing cash on
hand.
About HireQuest
HireQuest,
Inc. is a nationwide franchisor that provides on-demand labor and
commercial staffing solutions in the light industrial, blue-collar,
and commercial segments of the staffing industry for HireQuest
Direct, HireQuest, Snelling, and LINK franchised offices across the
United States. Through its national network of over 200
franchisee-owned offices in more than 30 states and the District of
Columbia, HireQuest provides employment for approximately 60,000
individuals annually that work for thousands of customers in
numerous industries including construction, light industrial,
manufacturing, hospitality, clerical, travel, and event services.
For more information, visit
www.hirequest.com
.
Important Cautions Regarding Forward-Looking
Statements
This release contains forward-looking statements within the meaning
of the Private Securities Litigation Reform Act of 1995 including
statements regarding the acquisition of certain assets of LINK
Staffing and Snelling Staffing and the expected benefits from such
transaction including increased earnings and revenue, diversified
offerings, organic growth, and the effects of expanded scale. All
statements other than statements of historical facts contained
herein, including the statements identified in the preceding
sentences and other statements regarding our future financial
position and results of operations, liquidity, business strategy,
and plans and objectives of management for future operations, are
forward-looking statements. The words "expect,"
"expectation", "intend,"
"anticipate", "will,"
"believe", "may", "estimate,"
"continue", "should", "plan,"
"could", "target", "potential,"
"is likely", and similar expressions as they relate to
the company, LINK, or Snelling Staffing, are intended to identify
forward-looking statements. We have based these forward-looking
statements largely on management's expectations and
projections regarding future events, negotiations, and financial
trends that we believe may affect our financial condition,
operating performance, business strategy, and financial needs.
These forward-looking statements involve a number of risks and
uncertainties.
Important factors that could cause actual results to differ
materially from these forward-looking statements include: the
possibility that the anticipated benefits of the asset acquisitions
or asset sales will not be realized or will not be realized within
the expected time period; the risk that LINK's or Snelling
Staffing's business may not be integrated successfully; the
risk that disruption from the acquisitions may make it more
difficult to maintain existing business and operational
relationships; and several other factors.
Further information on risks we face is detailed in our filings
with the Securities and Exchange Commission, including our Form
10-K for the fiscal year ended December 31, 2019, our quarterly
reports on Form 10-Q filed since that date, and our current reports
on Form 8-K filed with the SEC on February 1, 2021, February 16,
2021, and March 2, 2021, and will be contained in our SEC filings
in connection with this acquisition. Any forward-looking statement
made by us herein speaks only as of the date on which it is made.
Factors or events that could cause our actual results to differ may
emerge from time to time, and it is not possible for us to predict
all of them. The Company undertakes no obligations to publicly
update any forward-looking statements, whether as a result of new
information, future developments or otherwise, except as may
otherwise be required by law.
Company
Contact:
HireQuest,
Inc.
Cory
Smith, CFO
(800)
835-6755
Email:
Cssmith@hirequest.com
Investor
Relations Contact:
Hayden
IR
Brett
Maas
(646)
536-7331
Email:
brett@haydenir.com

EX - 99 . 4 6 exh994pressrelease . htm ADDITIONAL EXHIBITS exh994pressrelease HireQuest , Inc . Closes Acquisition of LINK Staffing Acquires 35 Franchised Locations in Nine States , Further Expanding Franchise Opportunity to Include Traditional Commercial Staffing GOOSE CREEK , South Carolina - March 23 , 2021 - HireQuest , Inc . ( Nasdaq : HQI ) , a national franchisor of on - demand and temporary staffing services , today announced that its subsidiary , HQ Link Corporation , has closed the acquisition of the franchised operations of LINK Staffing , a family - owned staffing company based in Houston , Texas , for approximately $ 11.1 million in cash . The transaction does not include working capital . The 35 acquired locations generated approximately $ 57 million in system - wide sales in 2020 . " On the heels of the recent acquisition of 47 locations from Snelling Staffing , a 67 - year - old staffing company , we have rapidly expanded our presence in commercial staffing , creating an additional revenue stream for HireQuest " , commented Rick Hermanns , HireQuest 's President and Chief Executive Officer . " Just as importantly , the combined branch networks of LINK and Snelling will create a dynamic platform from which we believe we can grow our commercial staffing business organically . Most of the LINK locations are expected to be rebranded under the well - respected Snelling name " . Through the Snelling and LINK acquisitions , HireQuest added 82 locations before any location sales , that produced $ 144 million in system - wide sales for a total consideration of $ 28.4 million before working capital adjustments . HireQuest subsequently sold five locations to a third party and divested ten California offices in exchange for a continuing trademark license royalty . HireQuest funded the LINK acquisition with existing cash on hand . About HireQuest HireQuest , Inc . is a nationwide franchisor that provides on - demand labor and commercial staffing solutions in the light industrial , blue - collar , and commercial segments of the staffing industry for HireQuest Direct , HireQuest , Snelling , and LINK franchised offices across the United States . Through its national network of over 200 franchisee - owned offices in more than 30 states and the District of Columbia , HireQuest provides employment for approximately 60,000 individuals annually that work for thousands of customers in numerous industries including construction , light industrial , manufacturing , hospitality , clerical , travel , and event services . For more information , visit www.hirequest.com . Important Cautions Regarding Forward - Looking Statements This release contains forward - looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 including statements regarding the acquisition of certain assets of LINK Staffing and Snelling Staffing and the expected benefits from such transaction including increased earnings and revenue , diversified offerings , organic growth , and the effects of expanded scale . All statements other than statements of historical facts contained herein , including the statements identified in the preceding sentences and other statements regarding our future financial position and results of operations , liquidity , business strategy , and plans and objectives of management for future operations , are forward - looking statements . The words " expect , " " expectation " , " intend , " " anticipate " , " will , " " believe " , " may " , " estimate , " " continue " , " should " , " plan , " " could " , " target " , " potential , " " is likely " , and similar expressions as they relate to the company , LINK , or Snelling Staffing , are intended to identify forward - looking statements . We have based these forward - looking statements largely on management 's expectations and projections regarding future events , negotiations , and financial trends that we believe may affect our financial condition , operating performance , business strategy , and financial needs . These forward - looking statements involve a number of risks and uncertainties . Important factors that could cause actual results to differ materially from these forward - looking statements include : the possibility that the anticipated benefits of the asset acquisitions or asset sales will not be realized or will not be realized within the expected time period ; the risk that LINK 's or Snelling Staffing 's business may not be integrated successfully ; the risk that disruption from the acquisitions may make it more difficult to maintain existing business and operational relationships ; and several other factors . Further information on risks we face is detailed in our filings with the Securities and Exchange Commission , including our Form 10 - K for the fiscal year ended December 31 , 2019 , our quarterly reports on Form 10 - Q filed since that date , and our current reports on Form 8 - K filed with the SEC on February 1 , 2021 , February 16 , 2021 , and March 2 , 2021 , and will be contained in our SEC filings in connection with this acquisition . Any forward - looking statement made by us herein speaks only as of the date on which it is made . Factors or events that could cause our actual results to differ may emerge from time to time , and it is not possible for us to predict all of them . The Company undertakes no obligations to publicly update any forward - looking statements , whether as a result of new information , future developments or otherwise , except as may otherwise be required by law . Company Contact : HireQuest , Inc . Cory Smith , CFO ( 800 ) 835 - 6755 Email : Cssmith@hirequest.com Investor Relations Contact : Hayden IR Brett Maas ( 646 ) 536 - 7331 Email : brett@haydenir.com