A company has won a multi-million pound deal in the Middle-East.

K Home Engineering, of Thornaby, near Stockton, will manage a £225m scheme to build three town centres, a hotel, golf course and 24 luxury villas.

The Teesside company, which employs 400 workers, has struck a deal with Dubai company EMAAR.

EMAAR is led by the Dubai economic minister, Mohamed Ali Alabbar, economic minister.

It is hoped the minister, who is due to visit Teesside next month, will persuade Arab companies to invest in development projects on the Tees.

K Home, a 30-year-old company, specialises in construction management, engineering design, and the chemical and food sectors management.

The three town centres will be built on the outskirts of Dubai and will including shopping centres, swimming pools and sports facilities. The contract will take up to 18 months to complete.