THE new owner of a Tyneside manufacturing company is looking to increase turnover by up to 50 per cent in the next three years after completing a management buy-out.

Summit 1 Technology has been formed to take over the UK design and contract manufacturing arm of electronics group Mitsumi, in Jarrow, in a deal that safeguards 54 jobs.

New owner Ian Walton, a former Mitsumi UK finance manager who put together the buy-out deal with sales manager Phil Nelson, is looking to create at least 14 positions and increase turn-over from £5.5m to £8m by 2010.

Equipment has also recently been installed to help boost production by up to 30 per cent.

Summit 1 Technology will focus on the design and manufacture of systems servicing the automotive and industrial market sectors from its premises in South Tyneside.

Mr Walton said: "We have a highly-skilled workforce and a very healthy order book, which will see us continue our success in the bespoke design and manufacture of products for the automotive and industrial sectors."

The company received support from regional development agency One NorthEast and the business development team at South Tyneside Council.

The management buy-out deal was put together by Tait Walker Corporate Finance and Robert Muckle Solicitors.