Flynn acquires call centre company in Scotland

CORK-BORN businessman Pearse Flynn has moved back into the telecoms business, acquiring a call centre company in Scotland.

Mr Flynn, who quit the telecoms networking company Damovo last August after a failed management buy-out, has bought CallPoint, which is based in Glasgow.

According to The Scotsman newspaper, Ballycotton-born Mr Flynn and associate Jim Park bought CallPoint without outside investment, though no financial details of the transactions have been disclosed.

CallPoint operates two call centres, one in its Glasgow base, and a second in Milton Keynes in England. The company has 200 employees and has turnover in “single digit millions” and is believed to have made small losses over the past couple of years.

Mr Flynn worked for the computer firm Compaq for 12 years in various roles in Europe and the US before moving to Newbridge Networks in 1999. He served as executive vice-president and general manager of its European operations before moving to Canada as chief operating officer.

He played a key role in the acquisition of Newbridge Networks by Alcatel for $7.1 billion in February 2000, becoming the president of the Alcatel Carrier Networking Group on completion of the transfer, before moving to Damovo, which is based in Glasgow.

He is a major shareholder in Celtic football club, along with several Irish investors, including Dermot Desmond, Eddie Jordan and Denis O’Brien.

The Scotsman reported that no lay-offs are planned at the company, which at one stage employed 700 people.

The takeover of CallPoint comes as many companies are shifting call centre operations out of western Europe to India and other low-cost economies. Last week, two major financial institution, Axa and Abbey, confirmed they were moving call centre jobs out of Britain.

But Mr Flynn told the newspaper: “I believe the time to make money is when people have a negative view. I don’t believe the quality end of the sector is going to India at all.”