Goodbody Corporate Finance has successfully placed stock worth $3 million (€2.99 million) with private clients as part of a $15 million fundraising for Dublin software company Orbis.
The Sandyford-based company is now believed to be worth well in excess of $100 million.
Orbis, which employs around 30 people at its Sandyford headquarters, has developed a very secure method of ensuring the safety of credit-card transactions on the Internet. The company is tipped for a Nasdaq flotation in September and is involved in a very "hot issue" of technology right now - online security.
Goodbody, the corporate finance arm of AIB stockbrokers, recently placed the monies with its private clients. Goodbody's Mr Liam Booth confirmed yesterday that the placing had been completed and that it had been oversubscribed. He said Goodbody's had been very pleased with the response to the placing.
Other sources said the placing had attracted huge interest and had been hugely oversubscribed. It is thought that the $15 million represents just under 15 per cent of the company. Telecommunications group ITG is understood to have paid $5 million for its stake, bringing its total holding to 12 per cent.
ITG is said to have become very keen to expand its holding when the idea of raising $15 million was mooted, as the company had raised £55 million and had £40 million net cash last year. This left Goodbody's with $3 million to raise.
US security house Lehman Brothers bought a 7.5 per cent stake for $7.5 million as part of the $15 million fundraising, adding further weight to the company.
Many people buying goods on the Internet are afraid to give their details over the Net.
However, the Orbis system circumvents the need for customers to furnish full credit-card numbers over the Internet. Each separate transaction is given a four-digit code, while the bank which processes the transaction keeps the credit-card details on its network, thus helping to minimise the fraud risk.
Orbis, through Orbiscom, its Internet-payments technology company, has been testing the system with AIB Bank. Some sources said the company was likely to float in the autumn.
