Recruiter.com Announces Update on Strategic Transactions
Releases Preliminary Proxy Statement for Key Transactions: Acquiring Fintech Assets from GoLogiq and Selling Intellectual Property to Job Mobz
Details Plans for the Spin-out of CognoGroup, a New Entity for Work Technology and AI Assets
NEW YORK, NY / ACCESSWIRE / September 15, 2023 / Recruiter.com Group, Inc. (NASDAQ:RCRT)(NASDAQ:RCRTW) ("Recruiter.com" or "the Company") announces pivotal moves in the form of two strategic transactions: the targeted acquisition of fintech assets from GoLogiq (OTC:GOLQ) and the divestiture of certain Recruiter.com intellectual property (IP) to Job Mobz. These initiatives are designed to sharpen the Company's core focus, tap into lucrative market segments, and enhance shareholder value.
A comprehensive Preliminary Proxy Statement has been released to detail these transactions. A shareholder meeting will be held at a date to be determined shortly and will be accessible to shareholders as of the to-be-determined record date via www.virtualshareholdermeeting.com/RCRT2023SM
Subject to the successful acquisition of GoLogiq's fintech assets, the Company anticipates a strategic pivot toward delivering financial services through tech-driven solutions in both emerging and established markets. GoLogiq's financial plans and technology assets are disclosed in a public presentation available on SEC.gov.
Simultaneously, Recruiter.com aims to create a separate entity, CognoGroup, to house its work technology and AI-centric assets. Shares in CognoGroup are expected to be distributed to current Recruiter.com shareholders. This new entity will consist of:
Assets from the anticipated sale of the Company's healthcare staffing division, disclosed on August 15, 2023. These assets include Futuris stock valued at an estimated $500,000 (pending adjustments per agreement terms) and a percentage of ongoing gross profit capped at $2 million.
Assets from the impending sale of Recruiter.com IP to Job Mobz, announced on August 17, 2023. Included are shares and a profit-sharing agreement equating to ten percent (10%) of Job Mobz, a private California corporation. Job Mobz has projected its 2024 revenue to exceed $50 million, with net profit margins between 15-20%. A three-year technology services agreement is also part of this transaction.
Current work technology and AI-centric projects, such as Mediabistro, a leading job board for the media industry, Candidate Pitch AI Tool for creation of instant candidate profile, Recruiting Classes upskilling and learning platform, and "Recruiting with ChatGPT" content offering.
Miles Jennings, CEO of the Company, notes, "This strategic reorganization has been carefully planned to address the complexities involved. We are optimistic that these steps are well-designed for maintaining business continuity and bolstering shareholder value."
Jennings adds, "We're grateful to our stakeholders for their ongoing support. The aim of this reorganization is to build long-term shareholder value and strategically position both Recruiter.com and CognoGroup for lasting success in the marketplace."
About Recruiter.com Group, Inc.
Recruiter.com is a versatile recruiting platform that provides flexible talent acquisition solutions scaling from startups to the Fortune 100. With an expansive network of recruiting professionals and sophisticated recruitment marketing automation, Recruiter.com solves complex hiring challenges for businesses across the globe.
For investor information, please visit https://investors.recruiter.com
LinkedIn Recruiter Network Group: https://www.linkedin.com/groups/42370/
LinkedIn Company Page: https://www.linkedin.com/company/1240434
Twitter Company Page: https://twitter.com/recruiterdotcom
Facebook Company Page: https://www.facebook.com/RecruiterDotCom
Forward-Looking Statements
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, the Securities Act of 1933, and the Securities Exchange Act of 1934, as amended. These forward-looking statements are based on current expectations, estimates, forecasts, and projections about the industries in which Recruiter.com Group, Inc. ("the Company") operates, and the beliefs and assumptions of the Company's management.
Words such as "expects," "anticipates," "targets," "goals," "projects," "intends," "plans," "believes," "seeks," "estimates," "continues," "endeavors," "strives," "may," variations of such words, and similar expressions are intended to identify such forward-looking statements. In addition, any statements that refer to projections of the Company's future financial performance, market share, product portfolio, anticipated growth, and potentials in its line of business and other characterizations of future events or circumstances are forward-looking statements.
Risks and Uncertainties
Readers are cautioned that these forward-looking statements are only predictions and are subject to risks, uncertainties, and assumptions that are difficult to predict. Therefore, actual results may differ materially and adversely from those expressed in any forward-looking statements. Factors that might cause or contribute to such differences include, but are not limited to, those discussed in this release and in the Company's filings with the Securities and Exchange Commission (SEC), including its most recent Form 10-K, Form 10-Q, and Form 8-K reports.
Third-Party Information
The Company makes no representation or warranty with respect to third-party projections or data cited in this press release and expressly disclaims any liability or responsibility for any loss or damage arising out of reliance on such third-party projections.
Additional Information and Where to Find It
For further information regarding the matters set forth in this press release, please refer to the Preliminary Proxy Statement, accessible at https://www.sec.gov/Archives/edgar/data/1462223/000165495423011901/rcrt_pre14a.htm and the Company's other SEC filings, all available on the SEC's website at www.sec.gov.
The Company disclaims any obligation to update or revise any forward-looking statements, whether as a result of new information, future events, or otherwise, except as required by law.
SOURCE: Recruiter.com Group, Inc.
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