A successful share placing by Trintech, the Dublin-based Internet payments company, will push the firm's total cash reserves beyond $300 million (€308 million) and fuel speculation that it is preparing to expand through acquisition.

A company spokesman refused to comment on takeover speculation, yesterday saying the share placing was for "corporate purposes" such as increased research and development.

But Trintech is understood to be keen to expand further into the potentially lucrative market for providing secure credit card payments for transactions made from mobile phones.

Earlier this year the company announced a deal with Motorola to provide technology for this type of secure payment.

Last Friday Trintech filed a registration statement with the US Securities and Exchange Commission for a proposed public offering of some six million shares following a two-for-one split of its American Depository shares. Some two million shares (four million after the share split) will be offered by the company and one million shares (two million after the split) will be offered by individual shareholders.

At yesterday's share price of $135 the sale could generate some $270 million for the company which already has some $60 million in cash reserves following its IPO last year.