A BLAYDON company has bought out a manufacturing plant in Prudhoe and plans to build houses next door.

Horizon Products Limited has purchased the Eltringham Works site from AkzoNobel and plans to move in next year.

As part of the sale, Horizon Products, a chemical manufacturer and filler, will also own the land adjacent to the factory.

And it has submitted a planning application for a 50-home development on the site of the former Eltringham village.

The factory was established as Hammerite in 1962 by Stocksfield resident, Alan Foster.

In 2008 AkzoNobel took over the Low Prudhoe factory as part its takeover of ICI.

But in 2011 it announced plans to close the factory as part of a plan to build a £100 million facility in Ashington.

And site manager Matt Williams has now confirmed that Eltringham Works has been sold and will be closed by the end of the year.

Horizon Products plans to move in by spring 2016 and says that similar to AkzoNobel it will use the site to manufacture chemical coatings.

The business, which lists AkzoNobel as one of its customers, is owned by Paul and Joanne Taylor and was established in 1996.

Alongside the purchase of the 120,000 square foot Prudhoe site, the company says it has won a £6m contract to manufacture wax coating products for an international ‘blue chip customer.’

A quote from the company’s website, regarding the purchase, states: “This is a fantastic time for the company. All of our staff who have been with us for many years are looking forward to the move.

“It’s great to be part of the manufacturing expansion in the largest exporting region in the country, the North-East.”