Professional services giant Capita Asset Services is planning to increase its Irish-based workforce by 200 people inside the next two years on the back of a growing project portfolio and general growth in the economy.
The company yesterday announced its appointment to service the new €500m residential development finance business, Activate Capital.
Backed by private equity house KKR and the Ireland Strategic Investment Fund, Activate is aimed at stimulating housebuilding in Ireland by providing builders with as much as 90% debt financing for residential projects.
It will also create an estimated 1,900 permanent jobs, said the Government.
Increased business and construction activity has led Capita to predict strong economic growth for Ireland into 2016 and beyond and has led it to pledge another 200 positions to its Irish operations by the end of 2017.
Capita currently employs 1,600 people in Ireland in the areas of corporate services, loan administration, asset management, loan workout, and recovery as well as support services for the banking, fund administration, aviation and life and pensions industries.
“Based on business forecast we would anticipate increasing headcount by up to 200 in the next two years,” said chief executive Robbie Hughes.
“After a number of very challenging years for the SME and housing sectors there are signs that new forms of lending from Irish and international pension funds as well as private equity, are emerging due to restored confidence in a resurgent Irish market.
“Non-bank direct lending is expected to develop increased market share over 2016 and beyond creating opportunities across the business sector.
"This growth in non-bank direct lending is yet another sign of confidence in Ireland as a place to do business.”
Finance Minister Michael Noonan said Capita’s expansion plan marks “a very welcome boost to Ireland”.
“The development of non-bank financing options for Irish businesses, in particular, has been a key priority for this Government,” he said.
“The Irish economy can continue to grow strongly in the medium term, but access to a broad and diverse range of financing options is an essential ingredient.
“Today’s announcement highlights that non-bank financing is not just good news for SMEs but is good news for our dynamic and highly educated workforce.”
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