LISTER Petter has been saved but is moving and being renamed after a buyer came forward to acquire the stricken business, which entered administration last month.
The engine manufacturing firm has been taken over by Birmingham-based company EGL Group and now operates under the name Dorset Road One, one of EGL's subsidiary companies.
The factory’s equipment is already being packed up and shipped to a facility in Aston Down in Minchinhampton, where the 80 remaining staff will work from.
EGL director Trevor Modell, who is also the director of Stroud firm Springfield Engineering, previously worked for the Lister company as a director until March last year but came back as a consultant.
Dorset Road One is now contracted to make Lister Petter engines for what remains of the Lister Petter Group.
Head of business development Nigel Sankey said the company would not disclose how much it had been bought for.
“Lister Petter Ltd is no longer. It was bought from the administrator by the EGL Group and is being operated under one of its subsidiary companies Dorset Road One,” he said.
Mr Sankey added 85 per cent of Springfield Engineering sales were from Lister Petter.
“To protect those jobs at Springfield, along with the 80 jobs created at Dorset Road One, it was felt it was a good move, on behalf of the group company to no longer just be a supplier of components, but to build the engines complete under a manufacturing supply agreement.”
Lister Petter had operated in the town for over 140 years and at its height employed 5,000 people in the area.
None of the previous board of directors of Lister Petter are staying on at the new manufacturing entity.
Mr Modell hit national headlines for all the wrong reasons last year after the Gazette’s exclusive story on his arrival at the factory in a brand new Ferrari a day after 45 staff were made redundant just before Christmas.
Unite union leader Trevor Hall said he has had several discussion with the new owner and had been guaranteed the terms of employment would stay the same for staff.
“I am pleased the company has been saved and I hope it can go forward and prosper,” he said.
“I am being assured that the future is secure. I have to take that on face value and we will work with the new owners.”
Dursley Cllr and leader of Stroud District Council, Geoff Wheeler, said it sounded like great news.
“It would be excellent to see as many jobs as possible saved and hopefully for the long term,” he said.
“We’re awaiting official confirmation from the administrator on what has been decided, but it would certainly be a tremendous relief for the remaining employees of Lister Petter and their families if its future is assured.”
Around 77 people were made redundant in the last few months at the firm.
Despite repeated requests, administrator CBA Insolvency Practitioners has not provided a response.