Office equipment company Bryan S Ryan has taken a 30 per cent stake in Octagon Technologies, a Dublin-based Web technology company. Octagon was set up in 1996 by former teacher Mr Leo Kearns and employs 20 people. The deal, which includes share options and earn-out clauses, is understood to value the profitable Web company at £2.5-£3 million (€3.2E 3.8 million).

Octagon provides a management consultancy service to help companies develop Internet strategies and implement Internet solutions.

With the expected explosion in e-commerce business and with the advantage of Bryan S Ryan marketing skill and customer base the value of Octagon could double in the next two years.

Ryan's chairman, Mr Tom McCormick, said the combination of his company's expertise and customer base with Octagon's technological expertise would provide the perfect base for its development in e-commerce. Ryan's operations director, Mr Michael Cox, will become involved in the operations side at Octagon.

Mr McCormick said the logic of the deal for his company was that many of his 5,500 customers were looking for Internet solutions and "we knew we needed to become involved".

For Octagon the deal offered access to Ryan's customer base and its broader management and marketing capabilities, he said.

Mr Kearns was not available for comment.