ICC Bank's venture capital division is investing €1.5 million (£1.18 million) in 4-D Technologies, a Dundalk-based manufacturer of high-precision three-dimensional measurement systems.
This second round of funding will increase ICC's shareholding in 4-D to 29 per cent from 24 per cent. The investment bank acquired its quarter-share as part of a 1997 investment in the company, when it was known as RSF Ltd. An ICC spokesman said its initial commitment to the company was for a "relatively small amount".
RSF was renamed two months ago after it acquired a California-based company 4-D Technology. Its chief executive, Mr Michael Cusack, said the deal valued the start-up US operation at "a little over $5 million" between funding and a share swop.
While RSF made "bespoke" equipment, 4-D hoped to develop a patented product range focusing initially on the hard disk drive and semiconductor markets. It believes the technology has potential applications in other manufacturing areas.
4-D would continue to provide software support for bespoke customers, Mr Cusack said. Its existing clients include drink maker Guinness, and the IT firms Hewlett-Packard, Motorola, Panasonic and Seimens.
The company plans to use the money invested by ICC to continue to develop in its main US market and also in Japan.
"We haven't ruled out that another round of funding may be necessary next year but we hope not," said Mr Cusack.
The company's products can be used to measure three-dimensional surfaces on the production line - most comparable systems function in laboratories only.
4-D recently signed a contract to supply its PhaseCam product, which uses this procedure, to the US space agency NASA. This will be used to inspect and measure a new generation of space telescopes.
The company employs about 12 people in the Republic and California.
ICC's investment of €1.5 million is relatively small. The bank had invested up to £7 million in individual technology firms in the past 18 months, according to its spokesman. This included a £3.5 million investment last April in Performix Technologies, which makes performance management software.
