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Connecting Excellence targets UK and U.S. recruiter acquisition with Bitcoin hold

The proposed deal values an acquisition target at binding heads of terms, with initial cash of £575,000 at completion and the target holding 8.216 Bitcoin.

Reported · Written up by our desk · Market Structure

Connecting Excellence Group (XCE) has signed binding heads of terms for its first proposed recruitment acquisition, aiming to pair an operating buy-and-build strategy with a Bitcoin balance sheet approach, Bitcoin Magazine reports. The target is described as a specialist UK and U.S. recruitment business that generated £1.79 million in revenue and £431,000 in EBITDA over the last 12 months, and it also holds 8.216 Bitcoin.

The acquisition has not closed and remains subject to further due diligence, funding, and a definitive purchase agreement. XCE plans to acquire profitable recruitment businesses and retain much of the earnings generated, expanding internally generated capital for growth and Bitcoin purchases.

Under the proposed structure, XCE expects to pay £575,000 in initial cash consideration at completion, with about £425,000 related to settling amounts owed by vendors and returning those amounts to the group, for an estimated net cash outflow of roughly £150,000 before transaction costs. Another £60,000 cash payment is due in 2028, while additional consideration is deferred and tied to EBITDA performance through fiscal 2029, with XCE expecting to retain about 75% to 85% of the acquired business’s cumulative EBITDA during the earn-out period.

Bitcoin Magazine also notes a growth symmetry between buyer and target: XCE’s Spencer Riley grew revenue 20.6% over its latest 12-month period, while the acquisition target’s revenue grew 21.5% over the same period.

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