WORKERS at a crisis-hit Congleton company were celebrating this week after the firm was bought out by new owners.

Some 88 production workers and staff were made redundant last week at plastic moulding company Planagear Ltd when the receivers were called in.

Their task was to save the business by finding a buyer as quickly as possible for the company, which is based on the Radnor Park Trading Estate.

A deal was struck at midnight on Tuesday when the company was bought out by Merriott Plastics Ltd, which is based in Yeovil in Somerset.

Production restarted yesterday, and company MD Bill Hall is looking to take on up to 40 workers in the medium to short term.

Mr Hall said the new company would remain in Congleton town, although he would not rule out a move to another site.

The new firm would be known as Planagear, he added, and its purchase by Merriott represented a substantial investment for the company.

"When Planagear Ltd went into receivership last Tuesday it had cash flow problems and needed better commercial control," said Mr Hall.

"The company failed because there was overemployment in a slightly declining market, and a combination of the two factors brought about the receivership.

"We intend to build it up on a sound basis, and would be looking to expand in the longer term."

Merriott specialises in thermoset compression moulding, and Mr Hall also owns another company, BFM Plastics in Sheffield, which specialises in the same area and thermo plastic injection.

"We are asking people to reapply for their jobs, and I am currently arranging interviews," said Mr Hall.

"We started producing on Wednesday, and I would imagine the company will be very efficient shortly.

"We think there will be up to 40 people employed here in the short to medium term until we know where we are.

"We believe that with the facilities offered by the three companies we are in a strong position to go forward, and the purchase of the Congleton business will bring the total number of people employed by Merriott to 120."

Planagear was started in 1967, and moved to its current home on Radnor Park in 1974, celebrating its 25th anniversary in 1992.

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