RENISHAW has announced ambitious plans to extend its Gloucestershire operations and expand production into Wales.

The Wotton-under-Edge based engineering firm said this week that is was already in discussions with Stroud District Council about extending at the company’s headquarters at New Mills near Wotton, as well as at its sites in Stonehouse and Charfield.

The company, which employs 1,550 staff in the county, also revealed that is has bought a manufacturing facility near Cardiff.

In a statement on Monday Renishaw said it had exchanged contracts on the soon to be vacant Bosch factory next to Junction 34 of the M4 in South Wales.

However, Sir David McMurtry, Renishaw’s chairman and chief executive, was quick to assure the company’s Gloucestershire workers about the acquisition.

He said: "Whilst it is too early to say exactly what products will ultimately be manufactured in Wales, any employment created at the site will not be at the expense of permanent jobs in Gloucestershire.

"This is a rare opportunity to acquire a high quality manufacturing facility in a location that has excellent transport links and a local population with skills relevant to our business."

Renishaw is looking to extend its headquarters with a 225,000 sq ft phased development, its healthcare products’ facility at Charfield by 50,000 sq ft, and its machine shop at Stonehouse by 35,000 sq ft.

Sir David said the need for more space was because of increasing demand for its measurement and healthcare products.

He said: "This is an exciting time for Renishaw, but our rapid growth has presented real challenges with space, both to accommodate the new equipment required to manufacture an ever expanding range of products, and the numerous people that we are currently recruiting for all aspects of our business."

In April 2009 Renishaw announced more than 300 redundancies, but two years on the company has created approximately 500 jobs in the county, with 200 vacancies still available.