Bank of Ireland Kernel Capital Equity Fund has sold its 40% shareholding in ChipSensors as part of an all-cash sale to Texas-based Silicon Laboratories. The price is understood to be around €10m.

ChipSensors is based at the University of Limerick and develops silicon sensor chips to detect temperature, humidity and gases.

The company was set up in 2005 after securing an initial investment of €100,000 from the Bank of Ireland Kernel Capital Equity Fund - an early stage equity fund supported by Bank of Ireland, Enterprise Ireland and private investors.

Over eight separate investments, Bank of Ireland Kernel Capital invested a total of €1.85m in ChipSensors.

'The transaction demonstrates how early stage high potential companies can be nurtured and supported whilst simultaneously generating excellent returns for investors,' commented Niall Olden of Kernel Capital.