Butcher-turned-techie Phelan to remain at Trustev
Published 13/12/2015 | 02:30
Butcher-turned-techie Pat Phelan will remain on board at newly sold Trustev as owner TransUnion seeks to grow the company's presence in Cork.
Online fraud fighter Trustev - which employs just under 30 people in Cork - was sold for €19m in cash last Wednesday, with a further €21m payment possible if the company meets certain revenue, retention and EBITDA targets, the precise nature of which credit checker TransUnion would not reveal in a conference call earlier last week.
Phelan told the Sunday Independent he was "very happy" to be a TransUnion employee, and he was very confident the company would meet the earn-out targets.
"I'm very happy to remain here, no plans whatsoever to retire to Marbella or anything like that. I think the two companies fit very well together, I see a huge future for us both together."
He said he and Trustev's other investors - which include PCH boss Liam Casey, tech entrepreneur and investor David Coallier, and venture capitalists ACT - were happy with the return they got on the deal.
He said some of the early investors would have got double-digit returns.
TransUnion chief product officer Dane Mauldin said the company was "very impressed with the Cork location, the quality of staff, and the innovation from that.
"We see this as a big part of TransUnion's future as we move forward... we've got a fairly extensive roadmap and plan to further integrate new solutions with Trustev and the team in Cork.
"We certainly have plans, not only in the US but globally, to take Trustev's solution in combination to what we have with TransUnion to get to our end objective, which is helping our customers.
"What we found in working with Trustev is that their solution set is very much aligned to that cause and we have over the last number of years certainly seen that prove out with our customers."
Trustev's software monitors e-commerce transactions to try and stop fraud. It examines customer behaviour before and during transactions, and uses machine learning after the transaction to try and improve future results.
TransUnion said its customers had seen as much as a 60pc decrease in fraud losses after integrating Trustev's software into one of its products.
Phelan, who founded and sold Cubic Telecom, initially trained as a butcher and chef before an alcohol problem left him "virtually unemployable". Later he got his life back on track and became an entrepreneur, sinking the proceeds from the Cubic sale into Trustev.
Sunday Indo Business