Vangst Acquires CannabizTemp
May 16, 2024 – Vangst, the cannabis-focused hiring platform, has acquired CannabizTemp, the temporary staffing division of CannabizTeam. The acquisition was 50 percent cash, 50 percent stock, and is the first acquisition in the cannabis HR space. Vangst launched Vangst GIGS, an on-demand hiring platform, in 2018 to address the cannabis industry’s hiring needs. Since launching Vangst GIGS Vangst has filled over 200,000 cannabis roles across 19 States. The acquisition of CannabizTemp brings Vangst’s total customer count to over 1,700, and Vangst now services 90 percent of all U.S. multi-state cannabis operators.
“This marks a pivotal moment for both Vangst and CannabizTeam,” said Liesl Bernard, CEO of CannabizTeam. “It enables us to concentrate on our respective areas of expertise, setting a new industry standard for specialization, providing a comprehensive talent solution to the industry.”
“CannabizTemp was hands down our largest competitor”, said Karson Humiston, Vangst founder and CEO. “Liesl and her team built a phenomenal business with a strong and growing customer base, and we couldn’t be more excited to welcome the CannabizTemp customers into the Vangst family”.
CannabizTeam is an executive search firm, founded by internationally Ms. Bernard, exclusively focusing on the cannabis industry. CannabizTeam will continue operating their executive search business, and continue placing executives into the cannabis industry. As a part of the transaction, Vangst customers will now have access to the Cannabiz Executive Recruiters, to support their executive hiring needs.
The integration of CannabizTemp customers into Vangst will commence immediately, spearheaded by a commitment from both teams to ensure a smooth and efficient transition.
Vangst’s acquisition of CannabizTemp arrives at a point of continued growth for the legal cannabis industry in the U.S. More than 440,000 people have full-time jobs in the cannabis industry and this number is expected to triple over the next five years.
Recent M&A Activity
Acquisitions and consolidations continue to make news in the recruiting industry, with a number of notable purchases in recent months. Here is a sampling from the Hunt Scanlon Media archives:
Hudson RPO, a global total talent solutions company owned by Old Greenwich, Conn.-based recruiting firm Hudson Global Inc., has acquired Striver, a Dubai-based executive search firm. Financial terms of the deal were not disclosed. “With the new acquisition of Striver in the United Arab Emirates (UAE), Hudson RPO is strongly equipped to partner with new and existing clients for their senior talent acquisition needs in the rapidly growing Middle East region,” the company said. “We are pleased to continue to expand and enhance our offering in the executive search space,” said Jake Zabkowicz, global CEO of Hudson. “This furthers our ability to become and remain a core strategic partner for our clients as we assist them in putting the right people in place at all levels of their organizations to develop and execute a winning business strategy.”
ZRG, a global talent advisory firm and portfolio company of RFE Investment Partners, has acquired Ignata Finance Group, a U.K.-based executive search & finance recruitment and interim placement business. Financial terms of the deal were not disclosed. “Partnering with Ignata will enable our European growth strategy both in private equity but across our shared global customers, especially in the U.K.,” said Larry Hartmann, CEO of ZRG. “Adding Ignata to the family of ZRG companies puts us another step closer to true global talent advisory.” Founded in 2017, Ignata partners with VC, PE, and listed organizations seeking chief financial officers and their teams. “We continue our commitment to build a world-class business, employing passionate consultants that are experts in their fields. The partnership with ZRG marks a pivotal moment in our global expansion,” said Ben Searls, founder of Ignata. “By joining forces with ZRG, we are not only enhancing our C-suite capabilities but also broadening our reach internationally.”
Paris-headquartered search firm Alexander Hughes has acquired Chicago-based DSML Executive Search. Financial terms of the deal were not disclosed. “The move marks a significant milestone in Alexander Hughes’ global growth strategy, positioning the firm as the global executive search and leadership firm of choice for businesses and corporations worldwide,” the search firm said. “The acquisition includes two new offices, one in Chicago and one in Boston.” In addition, Alexander Hughes will retain Myriam Le Cannellier, co-founder and director of DSML Executive Search, who becomes the managing partner of Alexander Hughes USA, and her team of experienced executive search professionals. “This acquisition marks a pivotal moment for our group,” said Julien Rozet, CEO of Alexander Hughes. “We are very proud to strengthen our presence in the U.S. and to have Myriam Le Cannellier and her team at the helm. Her expertise aligns perfectly with our commitment to deliver the highest standard of executive search and leadership advisory services globally.”
The Elevate Sports Ventures agency has acquired SRI and launched Elevate Talent, a new executive search and global talent advisory practice. The new firm will recruit senior leaders across sports, entertainment, media, lifestyle, technology, and gaming. Elevate is led by Al Guido, who also serves as president of the NFL’s San Francisco 49ers. Jim Chaplin, formerly CEO of SRI, will become global president of Elevate Talent. In his 14 years at the helm of SRI, Mr. Chaplin and his management team have spearheaded the firm’s transformation from a U.K.-based sports specialist firm to a global company in the executive search space, helping organizations with board structure, governance, and C-suite issues with talent and advisory solutions. “For the team at SRI, becoming part of Elevate feels like a perfect match,” said Mr. Chaplin. “We share a foundation in the world of sports and have used that particular vantage point to deliver for clients across a wide range of consumer-facing sectors. Our common experience, aligned to a rigorous, data-driven approach, gives us the tools to set organizations up for success.”
Related: Hunt Scanlon Media Launches M&A Advisory Service for Recruiters
Contributed by Scott A. Scanlon, Editor-in-Chief; Dale M. Zupsansky, Executive Editor; Lily Fauver, Senior Editor – Hunt Scanlon Media