Derby-based Eggleston Steel is investing almost £1.5 million in three new machines for its stock-holding facility on Alfreton Road: a laser cutting machine, a press brake and a guillotine.

The new machinery is expected to be installed by June, and the £850,000 investment matches the company’s previous largest spend on machinery — made five years ago to acquire what was the most advanced laser profiling machine in the country.

The company (www.egglestonsteel.co.uk) also hopes to make a further investment in a plate-processing machine that will cut steel using a plasma cutting head, while also being able to drill, tap, mill and counter-sink plates.

Managing director Richard Hewitt said the proposed plasma machine has additional capabilities that will open up market opportunities in new sectors, including rail, automotive, aerospace and agriculture.

Eggleston hopes to have the new £500,000 plasma machine installed by the end of the year.

Together with new software and other ancillary spending the total cost of all the new machinery will be in the region of £1.5 million.

Mr Hewitt said the initial items were being bought from LVD Group (www.lvdgroup.com).

“LVD took four of us over to its factory to showcase what its machines can do, and we were impressed with what it had to offer.

"These machinery investments will increase our productivity and the quality of our finished product, as well as our profitability. We have also created two additional jobs prior to delivery to give us a head start.”