Connecting Excellence Group Plc (AQSE:XCE, OTCQB:XCELF) has signed binding terms for its first recruitment company acquisition, alongside a trading update showing strong growth at its flagship operating business.
The AQSE-listed executive recruitment group, which runs a Bitcoin treasury strategy alongside its recruitment operations, has agreed to buy two UK-registered companies that trade as a single specialist construction and engineering recruitment business.
The targets generated combined revenue of £1.79 million in the twelve months to 30 June 2026, up 21.5% year-on-year, with EBITDA of £431,000.
Initial cash upfront is £575,000, but with £425,000 of that settling amounts already owed to the targets, the net cash outflow on completion works out at just £150,000 before transaction costs.
The targets also hold 8.216 Bitcoin, which XCE will buy at market value, meaning the cash spent is matched by Bitcoin of equal value landing on the balance sheet at no net cost.
A further £60,000 is due in 2028, with the rest of the consideration deferred and linked to EBITDA performance over three years to the 2029 financial year.
XCE said it expects to keep between 75% and 85% of cumulative EBITDA generated over that earn-out period.
On trading, Spencer Riley, the group's flagship recruitment business, grew unaudited revenue by 20.6% to £1.84 million in the twelve months to 30 June 2026.
The company has also beefed up its Bitcoin treasury, adding a further 10 BTC since the period end to take total holdings to 72.94 BTC, worth £4.2 million.
Spencer Riley is preparing to launch a dedicated private equity and leadership recruitment division, having hired Jamie Waugh to lead the push into C-suite appointments for private equity portfolio companies.
Chief executive Scott Ellam said the deal would serve as the template for future acquisitions, pairing two profitable companies worth £1.79 million of revenue and £431,000 of EBITDA for a net cash outflow of roughly £150,000.
Ellam said thousands of profitable, owner-managed recruitment firms in the UK and beyond lack a clear exit path, with private equity out of reach for most and trade buyers scarce.
He said XCE's Bitcoin holding had grown from 9.27 BTC at its December 2025 float to almost 73 BTC, and that the pipeline of potential acquisitions kept building.
