CONSTRUCTION group Esh has bought a company out of administration, safeguarding more than 100 jobs.

Esh Group, which is based in Durham, announced yesterday that it had acquired Stephen Easten Limited for an undisclosed sum.

Stephen Easten, which has its head office at Northumberland Business Park, near Cramlington, employs 105 people and has an annual turnover of £12m.

The company, which celebrates its centenary this year, had been trading profitably after restructuring in 2000, but got into difficulties at the end of last year. It blamed "over-exposure to a significant client".

Stephen Easten appointed Gordon Goldie and Alan Kelly, of Tait Walker Chartered Accountants, as joint administrators and the business and its assets were sold to Esh Group as a going concern.

Esh Group chief executive Brian Manning said: "This is a bitter-sweet day. We have long admired the reputation and work of Stephen Easten Limited and it is sad that the business finds itself in these circumstances.

"It is clear that the directors have tried hard to resolve the problems, that they have a passion for the business and commitment to staff, clients, subcontractors and suppliers alike. We are looking forward to integrating the business into our group."

Both companies said they would work hard to minimise disruption to customers and ensure the success of ongoing contracts.