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McCarthy said: "He's a good footballer, he's always a threat up front and he gets goals. I want competition for players all over the park and we've really got it now up front.
"I wanted the deal done in time to get Stephen out to Ireland with the rest of the squad. That will help him settle in."
Wolves mauled Bray Wanderers tonight 4-0 with a hat-trick from Jay Bothroyd and another from Freddie Eastwood.
Unlucky Republic of Ireland midfielder Rory Delap played for the first time in over nine months. He had a 45-minute match for Stoke at the weekend.
Delap had been out since breaking a leg on his home debut last October. Liam Lawrence scored for Stoke in the 2nd half against Newcastle Town in a 5-1 win.
Derby are trying to seal a deal for homesick Ipswich midfielder Owen Garvan. Billy Davis is set to test both player and clubs resolve.
Nottingham Forest are trying to entice Corks Republic of Ireland under-21 striker Roy O'Donovan. They face a battle from Watford whose manager Aidey Boothroyd was in Turners Cross for the Waterford match on Tuesday.
Cork City chairman Brian Lennox has said he has recieved no fax offer for the striker and wants him to stay.