HireQuest, Inc. (NASDAQ: HQI) transferred majority ownership of its MRINetwork executive‑search division to a newly formed leadership group made up of current and former MRINetwork franchise owners. The transaction, announced on December 1, 2025, leaves HireQuest with a minority stake while the new group takes control of day‑to‑day operations, strategic direction, and client relationships.
The deal’s financial terms were not disclosed, but the structure mirrors HireQuest’s broader strategy of empowering franchise operators. By placing majority ownership in the hands of those who run the business, HireQuest aims to accelerate service delivery, improve client satisfaction, and unlock additional value for both the franchisees and the parent company.
MRINetwork’s historical performance provides context for the move. When HireQuest acquired MRINetwork assets in November 2022 for approximately $13.5 million, the network operated 232 franchise offices and generated about $283 million in system‑wide sales. The division’s standalone results have not been publicly reported since the acquisition, making the new ownership structure a key lever for future growth.
HireQuest’s Q3 2025 financials show a net income of $2.3 million ($0.16 per diluted share) on revenue of $8.5 million, a 9.8% year‑over‑year decline. The company cited disciplined expense management and the resilience of its franchise model as reasons for maintaining profitability despite the revenue drop. The ownership transfer is expected to help reverse the revenue trend by giving MRINetwork a dedicated leadership team focused on growth.
Shana Applebaum, newly appointed Managing Director of MRINetwork, said the transition “will bring hands‑on recruiting and franchise experience to the forefront of our strategy.” She added that the new leadership group will work with HireQuest to launch an enhanced service model and strategic initiatives beginning in the first quarter of 2026.
Rick Hermanns, CEO of HireQuest, emphasized that the company will continue to provide shared services, purchasing power, and infrastructure support to MRINetwork. He noted that the hybrid model combines entrepreneurial leadership with the scale advantages of a larger organization, positioning MRINetwork to capture market share in a competitive executive‑search landscape.
The transaction aligns with industry trends where executive‑search firms are seeking to balance global scale with local market responsiveness. By empowering franchise owners, HireQuest hopes to mitigate the headwinds of a muted hiring environment while leveraging demographic trends and executive turnover to drive demand.
Overall, the majority ownership transfer represents a strategic pivot that could reshape MRINetwork’s trajectory, enhance its operational agility, and strengthen HireQuest’s franchise ecosystem.
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