EuroCommerce, a Dublin payment services software company, has been acquired by DataCash Group in a deal which values the Irish company at up to €8.7 million.
Aim-listed DataCash Group will pay between €4.2 million and €8.7 million, depending on EuroCommerce meeting earn-out criteria.
It is also lending EuroCommerce €4 million to allow it to repay debt to one of its shareholders.
EuroCommerce is ultimately controlled by Irelandia Investments, a vehicle for the family of the late Tony Ryan.
The company was founded in 1999 and initially focused on providing e-commerce websites to small and medium-sized businesses.
It subsequently moved into the area of payment services. It carved out a niche in the airline and travel sectors and includes Alitalia, Ryanair, Ethiopian Airways, Singapore's Tiger Airways, online travel company Opodo and eastern European airline Wizz Air as customers.
According to accounts filed in the Companies Office last month, EuroCommerce had a loss after interest and taxation of €2.07 million in 2006. A note to the financial statements says that, based on contracts secured, the firm expects to move to a profitable situation.
DataCash said that while it expects it to be loss-making in 2008, being part of a larger group would enable EuroCommerce "to address the huge opportunities within the global travel market".
