Telecom pays £10m for stake in Trinity

Telecom Eireann has paid £10 million (€12.7 million) for a majority stake in Trinity Commerce, the Internet arm of Trinity Technology Group. The move will help Telecom accelerate its e-commerce business by providing a fuller range of services to customers in this area.

Trinity Technology Group, based in Dublin, was founded in 1991. It has a number of divisions and positions itself as a one-stop shop in business-driven technology solutions. It has partnered with leading companies, including Compaq, Sun Microsystems and Oracle. Trinity Commerce is the division of the group which develops Internet applications.

The company says its expertise lies in building e-commerce applications and integrating existing business processes through Internet, Intranet and Extranet technology.

Although no purchase price was disclosed, the move values Trinity at more than £20 million. Telecom is taking a 50.1 per cent stake in the company.

Telecom, like other telecommunications operators in Europe, has had problems regarding the speed with which it has moved into the e-commerce arena, according to industry sources.

Like its counterparts, the company has now chosen to go on the acquisition trail to bring in more e-commerce expertise.

Trinity Commerce employs around 20 people but is said to have a very strong track record in providing e-commerce solutions.

The Trinity Group employs more than 100 people and announced a further 50 jobs earlier this year. It says it has doubled revenue and staff numbers year on year since its foundation in 1991.

Projects it has completed include the NCB Stockbrokers website, as well as work for the Mortgage Store - which announced mortgage sales over the Internet in excess of £1.3 million at the end of last year - and Hughes & Hughes Books store, the Irish-operated on-line bookstore with the largest number of titles available online in Europe.

In a statement, Telecom chief executive Mr Alfie Kane said investing in Trinity Commerce would allow Telecom to add to and enhance its existing range of e-commerce and Internet solutions, "particularly in the areas of Internet systems integration and customised application development".

Mr Bill Donoghue, managing director of Trinity Technology, said Trinity Commerce had an impressive array of customers.

"We see an excellent fit between ourselves and Telecom Eireann," he said.

Shareholders in Trinity Commerce include Mr Robert Booth, Mr Jonathon Mills, Mr Norman Crowley, Mr Brian Barden, Mr Eamon Mulvihill, Mr Pat Crawford and Mr Donoghue.