Recruiter.com Group Inc. has announced a so-called “comprehensive strategic restructuring” following its agreement to acquire GoLogiq Inc.’s fintech assets.
Recruiter.com will change its name and brand to reflect the combined company’s new focus on fintech, and the deal will be valued at approximately $105 million. It will continue to trade on the Nasdaq market.
Meanwhile, the plan is to spin off the existing business of Recruiter.com and create a new entity focused on artificial intelligence-related businesses in the work technology space exposed on the OTC market.
Shareholders will own two securities: Recruiter.com and the spin-off AI company.
“Having successfully grown from $8 million in revenue in 2020 to $25 million in 2022, Recruiter.com is now preparing to split into two separate public entities,” said CEO Evan Sohn. said in a statement.
“This strategic move will allow the Nasdaq listing to be integrated with GoLogiq’s fintech business, while allowing Recruiter.com’s growth and AI-related businesses to move into the OTC market. It will be poised to participate in two promising businesses: Next Generation Financial and Workforce Technology. “
Recruiter.com recently launched a suite of innovative products related to AI and ChatGPT. One such product is candidate pitch software. It is designed to greatly increase the efficiency of recruiters by creating an instant overview of job candidates.
The company also plans to expand its business with media industry career site Mediabistro into new media technologies such as augmented and virtual reality, spatial computing and gaming.
On the personnel front, Evan Thorne stepped down as CEO on June 2nd. He will remain with the company as executive chairman and focus on strategic businesses such as completing the GoLogiq business integration and the planned spin-out of the AI company.
Co-Founder and current Chief Operating Officer of Recruiter.com, Miles Jennings, has assumed the CEO role indefinitely.
“Under Mr. Evan’s leadership, Recruiter.com has dramatically expanded our revenue base and established a number of profitable partnerships. We are committed to aligning our strategic efforts as we prepare to take on this new role,” Jennings said. To derive more value for shareholders. “
Please contact Andrew Kessel at andrew.kessel@proactiveinvestors.com
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