Xelector, part of the Dublin-based Enba group, has secured €23.5 million in second round private equity funding from eight major investors, bringing the value of the company to €175 million.

Xelector, a pan-European digital marketplace for financial services and utilities products, has raised the funding from Apax, Aureus, CGU, Invision AG, Morgan Stanley Dean Witter, Nextech Venture, Overseas Union Bank and Vertex.

Mr Jussi Laurimaa, chief executive officer of Xelector said Xelector's online marketplace will be formally introduced at the end of the second quarter of 2000, initially in the UK.

Mr Laurimaa said that recent high profile failures by technology companies had vindicated the company's approach.

He said the funding shows that despite the hype a solid business concept with a demonstrable path to profitability can still attract the valuation it deserves.

Xelector's system will allow both businesses and consumers to compare, select and buy financial services such as mortgages, motor insurance and credit cards over the Internet.

Prior to this financing, the company was funded and incubated by Enba and Mr Laurimaa said the second round funding will give Xelector independence from Enba.

Singapore-based Overseas Union Bank and Swiss based Nextech Venture are investing in Xelector for the first time while the other six investors are existing shareholders in the company.

Xelectors main revenue sources are comparison shopping and database mining.