Market Harborough company King Vehicle Engineering Group is expanding its base on the Riverside industrial estate in the town.
The company’s director Mark Carrington told the Mail that King had acquired the unit next to its current site, gaining an extra 20,000 square feet of space.
Parts of the company will move across to the new building next month.
The transport equipment company, which currently employs 125 people, has an annual turnover of £25million.
Earlier this year, Mr Carrington (65) sold his business to the larger, Derbyshire-based HW Martin group, which has a turnover of around £100million.
It was Martin who put forward the funds for the expansion, Mr Carrington explained.
“They’ve shown commitment to King inMarket Harborough” said Mr Carrington. “I suppose my outlook had to be short-term, but there’s is fairly long-term.
“Now all areas of the business can expand. We can increase output by anything up to 25 per cent. I think the future is very positive.”
The only cloud on the horizon was the uncertainty around Brexit, Mr Carrington said.
“We’re a niche manufacturer and we don’t export, but I personally think Brexit has been a bit of a disaster so far, because it’s dampened people’s confidence in theshort-term, even though the economy in the UK is generally strong.”
Mr Carrington will stay on for two years at King to ensure a smooth transition to the new owners.
King, founded in Market Harborough in 1962 by Canadian engineer Vern King, currently has three major areas of business - special trailers, truck mounted aerial access platforms and traffic management products.
It is the largest manufacturer of heavy haulage and lowbed trailers in the UK.
It often builds one-off trailers for specialist applications, from aircraft engines to mobile TV screens.
“We had to make some redundancies in 2007” said Mr Carrington.
“But since then we’ve done well, built the company back up to 125 people and had a very good recession.”