THE takeover of the Camerons Lion Brewery by Castle Eden has been completed, safeguarding 130 jobs.

Yorkshire Bank, Castle Eden's backer, yesterday transferred funds to Wolverhampton & Dudley Breweries, the previous owners of the Lion Brewery.

The transaction gives the region a new, strong independent brewer, the Castle Eden and Camerons Brewing Company. The organisation will focus all activity on the Lion Brewery, where both companies' traditional brands will continue to be produced.

They include Camerons Strongarm and Creamy bitters, plus its Scorpion Lager and Castle Eden's Castle Eden Ale, Trophy Special, Best Scotch and Nimmo's XXXX.

The new company is also investing in a small brewing plant and bottling line, so small quantities of specialist, traditional ales can be brewed and packaged.

The former Castle Eden site has been sold to housebuilder Charles Church, which has been given planning permission for 87 homes on the site.

Mike Selina, Yorkshire Bank's business development manager, said the deal involved an investment of £5m.

"After many months of working with Castle Eden to find the right financial package for the takeover, its completion is great news for the business, its employees and local beer drinkers."

David Soley, chairman and chief executive of the new company, said: "One year ago, all these beers and, of course, the jobs, were in great danger of disappearing. The products play a very important part in the life of the region, reflecting local pride and taste, and we are all delighted that by buying Camerons Brewery we have been able to save both sets of brands.

"We now want to get on with the job of offering all these beers to a wider audience and providing the North-East with a strong regional brewery.