An historic Black Country brewery has been sold for just £80,000 after falling into administration with debts of £1million.

Bosses at Highgate Brewery in Walsall today insisted it will continue manufacturing its famous beers after being bought out by two property dealers.

But managing director Bob Norton warned redundancies among the 25-strong workforce were likely.

New owners Simon Toon and David Dindol have pledged production will carry on at the Sandymount Road site, which has been brewing since 1899 and is famous for its Highgate Dark Mild. The effects of the recession, the smoking ban and the rise in beer duty led the company into financial difficulties, going into administration last week.