Staffing 360 Solutions, Inc. (NASDAQ: STAF), shares gained ground Tuesday, as the company executing an international buy-integrate-build strategy through the acquisition of staffing organizations in the United States and the United Kingdom, signed an agreement to acquire Headway Workforce Solutions for up to approximately $14 million in a combination of stock and cash.
The acquisition is subject to the satisfaction of certain closing conditions. Upon closing, $9 million will be paid through issuance of shares of preferred stock that are convertible into approximately 3.5 million common shares, and up to $5 million cash through an earn-out.
With a 35-year history and a national reach of human capital workforce solutions, Headway reported unaudited revenues of $85 million in 2021.
Headway offers customized contract-based workforce solutions in all 50 states, providing full scope staffing. Headway’s leading blended business service model of high-touch technology-driven-processes encompasses two integral components:
A proprietary database of three million candidates supports job search campaign management and is augmented with advanced e-recruiting technologies and integrated with a sophisticated applicant tracking system.
Headway is one of the largest U.S. providers of survey research personnel with projects in the social sciences, healthcare and marketing sectors. Its unique survey research niche is a valuable tool and differentiator in the staffing industry, providing these services in every zip code of the U.S.
STAF shares acquired four cents, or 5.3%, to 82 cents.
