Connecting Excellence Group (XCE) has signed binding Heads of Terms to acquire a specialist recruitment firm operating in the UK and US. The target company reported £1.79 million in revenue and £431,000 in EBITDA over the last 12 months, with a revenue growth rate of 21.5%. The target currently holds 8.216 BTC on its balance sheet.
The deal structure involves an initial cash payment of £575,000, with an estimated net cash outflow of £150,000 after accounting for debt settlements. Further payments include £60,000 due in 2028 and deferred consideration tied to EBITDA performance through fiscal 2029. XCE expects to retain 75% to 85% of the target's cumulative EBITDA during the earn-out period.
XCE aims to build a decentralized group of autonomous recruitment businesses. Acquired firms will maintain their existing brands and management teams while contributing to the group's capital allocation strategy. The parent company, which held 72.94 BTC as of September 1, plans to use generated earnings and acquired reserves to fund further acquisitions and Bitcoin purchases.
The transaction remains subject to due diligence, funding, and a definitive purchase agreement. XCE intends to acquire the target's Bitcoin at market value without a premium, effectively exchanging cash for BTC while simultaneously integrating the underlying earnings stream of the recruitment business.
