Production at a south Wales furniture plant, destroyed by fire, could restart in the next few weeks after managers confirmed they were close to signing a deal for a new factory site.

Earlier this month bosses at Universal Furniture in Aberdare, which employs about 100 people, said it was vital that suitable premises were found.

There is a huge amount of mutual respect between management and workforce and we are all pulling together to make this happen Mark Symes, managing director Universal Furniture

During the past few weeks administrative staff have been working from a local hotel and many production workers have been helping charities whilst continuing to be paid by the firm.

However, the company has not produced any furniture since losing all of its stock, worth £2.5m, in the blaze last month.

Mark Symes, the company's managing director, said he hopes to complete a deal on a new premises in the next few days.

"We have located the new premises which aren't quite as plush as we are used to.

"But the new site will enable us to get up and running and allow us to retain the workforce in its entirety.

"If we can complete the purchase we expect to start shipping in two weeks time."

If the deal is confirmed the new factory site would be located close to the old premises.

Major employer

The new building is smaller than the previous site and Mr Symes has said the staff would have to be flexible in order to adapt to the changes.

"There is a huge amount of mutual respect between management and workforce and we are all pulling together to make this happen," he said.

Universal Furniture has been a major employer in Aberdare for more than 20 years, and makes furniture for major retailers including Allders and Harveys.

South Wales Police are continuing to investigate the cause of the blaze.