Eircom finance director Peter Lynch has reached agreement with Australian investment fund Babcock & Brown to stay on at the telecoms group following its €2.36 billion takeover.

Following the departure last week of the company's former chief executive, Dr Phil Nolan, Mr Lynch will be the most senior member of the outgoing Eircom executive management team to stay on under Babcock & Brown's ownership.

The company will shortly confirm the appointment of Babcock & Brown executive Rex Comb as the telecom group's new chief executive.

Other members of the outgoing management team who will remain on the company's board include Eircom's retail director Cathal Magee and Robert Haulbrook, the chief executive of the newly acquired mobile company Meteor.

It is understood that the company's commercial director, David McRedmond, has made it known that he intends to leave the telecoms group.

Following Eircom's delisting from the stock exchange, the composition of the telecom group's new board of directors is likely to be made public over the next week.

As previously announced, the outgoing chairman, Sir Anthony O'Reilly, will be replaced by French businessman Pierre Danon, who takes the role of executive chairman.

Babcock & Brown director Rob Topfer, who led the takeover process, will be on the new Eircom board, as will former union official Con Scanlon, who will remain on as vice-chairman of the company.

Mr Scanlon chairs the employee share ownership trust (Esot) that has increased its stake in Eircom to 35 per cent from about 20 per cent as part of the takeover by the Australian investment fund.

Esot nominee John Conroy of Merrion Capital is also staying on the board.