Fayrewood, the London-quoted computer services group founded by Mr Pierce Casey, has announced a 73 per cent rise in pre-tax profit to £3 million (€3.8 million) in the year to April 30th.

The company also said that, in late June, it acquired 100 per cent of French firm Alpha Media, a high-growth, value-added provider of computer products for use in computer security and Internet-related applications.

Alpha was purchased for an initial consideration of 23 million French francs (€3.5 million) in cash and the issue of 1.6 million new Fayrewood shares. Up to Ffr10 million may be due at a later date depending on the trading results of Alpha in the year to the end of June, 2000.

"The business is very similar to ComputerLinks in Germany, albeit at a slightly earlier stage in its development," Mr Casey, who is Fayrewood's chairman, said.

The company, which said it expected further strong growth in profits in the current year, reported a 126 per cent rise in group sales to £140 million (€178 million), while operating profits were up by 86 per cent despite the continued strength of sterling.

Fayrewood said it was reviewing several development and acquisition opportunities in France and had also widened its acquisition search programme to include Italy, Spain and Scandinavia. In these areas, it will be concentrating on firms that provide training, consultancy and support programmes, similar to Computer Links and Alpha.

Fayrewood, in which Mr Casey has a 15.3 per cent stake, announced a 7.7 per cent dividend increase to 1.68p per share. Earnings per share were up by 20 per cent at 7.72p.