Hire Technologies (TSXV: HIRE), a network of staffing, IT and HR consulting firms, today announced a deal to acquire Kavin Talent Management and Recruiting, a staffing firm based in Burlington, Ontario. KTMR provides industrial and healthcare staffing in Southern Ontario and other areas in Canada.

KTMR posted revenue of C$4.0 million (US$3.1 million) in 2019 and had EBITDA margins of more than 7%. KTMR will continue to be operated by founder Steve Vincic, who will assume the role of managing director.

“Kavin Talent Management and Recruiting has a strong and growing foothold in contract general labor staffing within Ontario and elsewhere in Canada,” Hire CEO Simon Dealy said. “We are broadening and adapting our solutions to meet the demands of the evolving employment market.”

The purchase price is based on five times the business’ EBITDA for the trailing 12-month period ending on the second anniversary of the closing. C$1.0 million (US$764,859) of that, subject to closing working capital adjustment, is to be paid by Hire to the sellers on closing. Of the amount, C$800,000 (US$611,887) will be in cash and C$200,000 (US$152,972) in shares of Hire. A portion of the purchase price may need to be paid back if KTMR does not achieve certain financial results within four years after closing.