A UK steel company that went into administration has been taken over by a Newport, UK-based firm.

UK coater takeover

Coilcolor has bought Falcon Steel which was based at the old Alcoa site in Swansea, Wales.

Thirty five people lost their jobs when the company failed but 16 have been re-employed and Coilcolor hopes to take on more.

Coilcolor, which makes coated steel, said due to the expansion it aimed to grow its workforce across both cities to around 90 by mid 2012. Managing director Dean Proctor said the deal safeguarded the future of the Swansea plant and Coilcolor would begin manufacture at the Westfield Industrial Park site immediately.

Coilcolor makes coated steel in many colours and finishes for the construction industry. The Swansea site will operate as a separate company to be known as Coilcolor West Ltd but will have mutual shareholders.