Walsall’s historic Highgate Brewery could have closed down within two years if a multi-million pound takeover announced today had not been agreed, its new owners have revealed.

Highgate managing director Bob Norton admitted the buyout by Smethwick-based Global Star had given “a new breath of life” to the Sandymount Road brewery.

An almost immediate investment of around £3 million is being proposed and the jobs of the existing 25-strong workforce have been safeguarded, along with a promise of more jobs. 

As part of the undisclosed deal the landmark brewery, together with its stable of 10 pubs across the Midlands, will now become part of the Global Star group. 

The company owns more than 100 pubs in the region and Mr Norton said today the takeover could almost double turnover at the 110-year-old brewery.  

He said: “The brewery was suffering from a lack of investment and would have closed eventually. It probably had a maximum life of two more years.

“This planned investment is terrific and and with the projects being put forward it will bring prosperity and more jobs to Highgate Brewery. It is a new breath of life.” 

Wayne Toon, chief executive of Global Star, said: “Highgate Brewery is steeped in history, and we believe that with the growing popularity of cask ale there is plenty of potential to expand.”