Merrill opens €30m R&D centre

Merrill Lynch is to locate a €30 million research and development centre at its Leopardstown, Dublin offices in a move that could create up to 40 new jobs.

It is the largest investment to date by a financial services company in research and development in Ireland.

Merrill Lynch's new Research, Development and Innovation (RDI) Centre, which will have a global remit, was officially opened yesterday by Taoiseach Bertie Ahern. The chairman of Merrill Lynch in Europe, Bob Wigley, said the Irish investment was part of a wider expansion plan for the financial services group in Europe.

Last year Merrill Lynch's Europe, Middle East and Africa operations had net revenues of €7 billion, which accounted for 20 per cent of group revenues. Net revenues grew 46 per cent year on year.

The firm's chief technology officer in Ireland, Tony O'Halloran, who will head the new facility, said four projects were already being developed there. Two of these relate to making it easier for Merrill Lynch to comply with financial services regulation and the centre is expected to become a centre of excellence in this area.

Mr O'Halloran said the centre would build links with Irish academics as well as collaborating with indigenous and multinational technology companies. Mr Wigley said Merrill had located the centre in the Republic primarily because of the availability of a young, talented workforce, and the strong links between industry and academia.

"The tax regime around intellectual property was not relevant to this project," said Mr Wigley.

He pointed out that Dublin is home to Merrill Lynch's largest European office outside of London and the headquarters of its largest non-US banking operation. Yesterday's expansion will mean the wealth management, capital markets and advisory firm will have over 800 employees in the Republic by year end.

Merrill Lynch International Bank was recently ranked as the Republic's fourth largest bank by assets under management.