More than 100 jobs planned after Gateshead factory deal

Turkish ceiling manufacturer Prosista acquired the Gateshead sites from Zentia following the company’s collapse into administration in June.

The deal includes manufacturing premises, machinery, stock and intellectual property.

RFB Legal Senior Partner Deniz Oguzkanli (Image: Supplied)

Deniz Oguzkanli, senior partner at RFB Legal, who advised on the transaction, said: "This is a welcome investment in British manufacturing and an opportunity to bring more jobs back to Gateshead, and it's encouraging to see an international manufacturer recognise the potential of these facilities and plan further investment in the area."

Production ceased at the Gateshead sites after Zentia, headquartered in Newcastle, went into administration amid rising energy costs and declining sales.

The factories had been producing ceiling products since 1948.

Mr Oguzkanli said negotiations were complex due to the nature of the sale.

He said: "Buying from administrators meant dealing with several parties, all with different interests, while making sure our client was protected from risks connected to the previous business.

"With so many different aspects to the deal, our teams needed to work closely together to make sure nothing was overlooked.

"Our priority was to protect our client's interests while getting the acquisition completed within a demanding timeframe."

RFB Legal’s team also included corporate partner John Andrews, employment law partner Adam Pavey, and legal professionals Samuel Glasgow, Jasmine Azaei, and Gauri Dalvi.

Prosista has already begun rehiring former staff and expects to create more than 100 new roles as part of its long-term plans for the site.

Mehmet Lacin, director at Prosista, said: "There's a great deal of history behind these factories, and we want to build on the skills and manufacturing experience developed in Gateshead over so many years rather than see them disappear.

"By combining our expertise in metal ceilings with the mineral ceiling and acoustic products made in Gateshead, we can develop new product ranges while investing in the facilities and creating more opportunities for local workers."

Prosista is one of Turkey’s leading ceiling manufacturers and plans to expand its product offering by integrating Zentia’s production capabilities.

Without the acquisition, the UK would have lost its only suspended-ceiling manufacturing facility, ending decades of exports and leaving the country dependent on imports.

Instead, the deal ensures continued production, investment, and job growth in the region.