ONLINE.IE, the Irish-based Internet destination site launched earlier this week, has acquired the San Francisco-based online service, Irishabroad.com for £5 million (€6.35 million). Online.ie says it now plans to invest another £5 million in Irishabroad.com over the next 18 months.

The announcement is the first in a series of planned international expansion deals expected by Online.ie. It is aiming to become the largest online gathering place for Irish people globally. Irishabroad.com, was founded two years ago by Cork man, Mr Bill Hanafin, as an online meeting place for Irish people living overseas. The site currently registers more than five million page impressions a month.

According to Online.ie managing director, Mr Colm Grealy, Irishabroad.com will open offices immediately in New York and Boston, and there are plans to extend the service to Britain and Australia. It has also begun a recruitment drive.

Mr Hanafin will remain as president and chief executive of the company, and graphic designer Ms Tess Gurney, will operate as vice-president of marketing.