Official forecasters are expecting a marked slowdown in Ireland’s economic growth in 2023. First-time borrowers will be allowed to borrow more to buy homes, and seasonal employment permits are being introduced. On the M&A front, DPS Group in Cork has been
ECONOMIC FORECAST
The Central Bank is predicting moderate economic growth in Ireland of 2.2% in 2023 compared with an expected 6.4% this year. The pessimism is in tandem with the Department of Finance, which has also pencilled in growth in Modified Domestic Demand of 2.2% through 2023. MDD is now the preferred economic growth metric being used by Ireland’s policymakers, instead of GNI, GDP or GNP.
INFLATION TREND
The Consumer Price Index registered no change in September, the third successive month that the index declined. The monthly increase in CPI this year peaked at 1.3% in June, followed by 0.4% in July, 0.2% in August and zero in September 2022. The estimate of annual cost of living inflation also peaked in June, at 9.1%, and has declined in successive months to 8.2% in September.
MORTGAGE RULES
The Central Bank is relaxing rules around mortgage lending restrictions in January 2023, over seven years after they were first introduced. First-time buyers will be permitted to borrow up to four times their gross annual income, up from the current loan-toincome cap of 3.5 times, which will still apply to second-time and subsequent buyers. The 90% loan-to-value threshold for firsttime buyers will remain in place. LTV for non-FTBs will increase to 90% from 80%. Buy-to-let buyers will still be subject to LTV of 70%.
M&A DEALS
Arcadis, a design and consultancy organisation, has acquired engineering and construction management company DPS Group in Cork. DPS has c.2,850 employees in the US and Europe and reported turnover of €289m in 2021.
Acacia, one of the leading indigenous integrated facility management providers, has been acquired by Germany peer Apleona, subject to CCPC approval. Acacia, established in 2009, is one of the two largest owner-managed integrated facility management providers in Ireland.
BP Multipage has acquired Regional Electrical Maintenance in Ashbourne, Co. Meath, a provider of access control, automation, and security systems to private and public sector clients. BP Multipage is a portfolio company of Erisbeg, the private equity fund led by Alan Kerr and Thomas Davy.
Scottish recycling and resource recovery specialist Enva has acquired ADN Materials in Carrickmacross, Ireland’s largest farm film plastic recycler.
Utmost Software, established in four years ago by sector veteran Annrai O’Toole, Dan Beck, and Paddy Benson and others, has been acquired by Beeline in Florida. Both firms offer software to employers managing a contingent workforce.
Italian food and wine importer Italicatessen has been acquired by Musgrave. Based in Co. Wicklow, Italicatessen was founded in 2002 and employs 75 people.
UK broker consolidator Aston Lark has acquired Pembroke Insurances, an insurance broker trading since 2006 and led by Graham Weir and John McGuire. Their Quote Devil brokerage was acquired earlier this year by Three Rock Group.
Westport workwear manufacturer Portwest has acquired Westaro Hosing, a peer business based in Castlebar, Co. Mayo. Westaro was founded in 1988 by John Lavelle and Vincent Kenny.
Independent Irish Health Foods has been acquired by Bellingham Capital, led by Larry Goodman’s son Mark. IIHF, founded in 2008 and based in Ballyvourney, Co. Cork, is a wholesaler of health products, with turnover of €25m in 2021.
Transport and logistics distributor Alltrans has been acquired by bought over by UK peer Danx Carousel. Alltrans was founded by Paul Tuohy in 1993 and has c.120 employees.
Moloney Mortgages Pensions and Investments has sold 70% of its equity to Kingswood Holdings plc for €25.8m. MMPI was established in 1993.
SEASONAL PERMITS
The Employment Permits Bill 2022 progressing through the Oireachtas introduces for the first a Seasonal Employment Permit to cater for short-term and recurrent employment situations in certain sectors. The Bill is expected to be enacted by the end of the year.
SOLAR GRANT
A new grant of up to €2,400 has been introduced for the installation of solar panels for businesses, public organisations, and community groups. The grant is administered by the Sustainable Energy Authority of Ireland.
CRYPTO EXCHANGE
Gemini has launched its cryptocurrency exchange and custody services in Ireland, which enables individuals and institutions to trade over 100 cryptos, including Bitcoin, Ethereum, and Monero. Gemini said financial institutions, fintechs and corporates can use the platform to access custody, clearing, trade execution, price discovery and portfolio construction services.
APPOINTMENT
Crowe has appointed Aidan Ryan as a director of its audit & assurances department. Ryan joins from Moore, where he held the position of director within the audit department for the past three years.
FUNDING ROUNDS
Ekco, a cloud and cybersecurity provider based in Dublin, has secured the backing of UK private equity investor Corten Capital, which has acquired a majority stake.
Cybersecurity automation venture Tines has raised €54m in funding, bringing total capital raised to c.€90m. Established by Eoin Hinchy and Thomas Kinsella in 2018, the company develops ‘no-code’ software that enables employees to automate security workflows.
Payments fintech firm NoFrixion has raised €3.6m in a funding round led by Delta Partners and Middlegame Ventures and joined by Furthr VC. The company recently launched MoneyMoov API, a real-time payment service.
Public transport data company CitySwift has closed a €5m Series A funding round, bringing the Galway company’s total funding to date to €8.5m.
MML Growth Capital has invested in Virginia International Logistics in Cavan, led by Ray Cole.
Uform, a manufacturer and distributor of kitchen doors and accessories, has agreed PE investment terms with Cardinal Capital. Founded in 1993, Uform employs 415 people at facilities in Co. Antrim and Co. Donegal.
ROYAL CENTRE Radisson Blu Royal Hotel
The on Golden Lane in Dublin 8 is opening a new convention centre in November 2022. Spanning two floors, the 2,700 sq m facility has capacity for over 1,100 delegates, with a main plenary room and five break-out rooms. Alongside space in the 234-bedroom hotel, total meeting space between the two venues will be 4,000 sq m.
FERCULLEN WHISKEY
Powerscourt Distillery has released Fercullen Falls, its first whiskey distilled on site at the Powerscourt Estate in Wicklow. The 43% spirit is a 50/50 blend of malt and grain whiskeys.
FDI PROJECTS
Fidelity Investments is recruiting for 300 roles over two years in Galway and Dublin across software engineering, cloud, application, and data architecture. The company’s current workforce in Ireland is c.1,500 people.
Genesys, which offers customer experience services for cloud, has opened a new 3,300 sq m R&D centre on Bonham Quay in Galway. The company employs c.350 people in Ireland.
WorkFusion, a leader in Intelligent Automation and developer of AI-powered ‘Digital Workers’, has announced plans for its new European HQ at Hospitality House on South Cumberland St in Dublin. The company plans to fill 100 positions over the next three years.
NEW AIRCRAFT
Aer Lingus have taken delivery of two Airbus A320neo aircraft, which deliver a 20% reduction in CO2 emissions and close to 50% reduction in noise footprint compared to its predecessor, the A320ceo. The jets will operate mainly on the London Heathrow route.