Injection moulder R A Labone is expanding its facility in Consett, UK, to handle business growth due to increased demand from car makers Jaguar Land Rover and Nissan.
Its Labone Castleside business has signed a six-year lease for Unit 20 on the Castleside Industrial Estate, Consett, near to its existing facility.
The property deal forms part of Labone Castleside’s strategic expansion plans to increase annual turnover from its present level of £14.8m to £18m by 2019, according to a news release from Swinburne Maddison, the firm of solicitors which the moulder appointed to provide legal advice.
Labone Castleside currently employs 202 people and supplies mouldings, assemblies, and tooling design services to Tier One automotive customers.
Dawn Whittle, managing director of Labone Castleside, said: “During 2016, we re-invested heavily into new machine and ancillary equipment and have plans to invest a further £750,000 this year to support our growth strategy. When considering how best to take the company to its next level, it became clear it was more beneficial to add further manufacturing space to our existing facility and signing up to Unit 20 allows us to do this.”
Moulding operations are expected to start at Unit 20 in May.