Three loss-making Stoke-on-Trent pottery factories employing nearly 900 people were today sold in a £7.85 million management buy-out deal.

Troubled ceramics materials group Beauford sold Wade UK, Wade USA and Allied Insulators to a management buy-out team headed by their former chief executive Edward Duke.

Mr Duke said today it was ‘‘business as usual'' for Wade which had a ‘‘strong and profitable'' future despite making a pre-tax loss of £1.21 million last year.

He said he also planned to re-open Wade's mothballed Hilltop factory early next year, possibly with new jobs created.

Last October 70 people lost their jobs when Beauford shut down the plant in Burslem after a crash in orders for whisky flagons.

Wade UK currently employs 700 people at its Greenhead and Royal factories in Burslem while Allied Insulators employs 180 staff at a factory in Milton.

As part of today's announcement an Allied Insulators factory in Tamworth will shut with production moved to Milton. Allied Insulators made a loss of £2.86 million last year.The combined debts of Wade UK, Wade USA and Allied Insulators stands at £5.65 million. That debt is being taken on by the MBO team who completed the purchase with a £2.2 million cash offer.

Said Mr Duke: ‘‘This is positive news for Stoke-on-Trent. We are taking the companies private so we can be more entrepreneurial and so we can be more competitive and reinvest in capital expenditure.
‘‘It is business as usual. No-one can ever guarantee jobs in this day and age but the situation is very positive and order books are coming through strongly.''

Last year Beauford warned economic conditions in Asia and the strong pound was hitting sales and profit margins. Today the firm, said such difficulties had increased.