Troubled cladding firm Schmidlin has resumed production at its Swiss factory after being sold to a German materials technology group.

TSK Troester Group last week bought Schmidlin Facade Technology, which declared itself bankrupt on 22 February, for an undisclosed sum.

The sale to a European group follows strong speculation that a Middle Eastern client was interested in acquiring the business. Schmidlin UAE, the Swiss firm's Middle Eastern sister company, was also in negotiations over its acquisition.

Schmidlin UK, which is working on schemes such as Terminal 5, Bovis Lend Lease's Aldermanbury Square and British Land's 51 Lime Street, continued to trade throughout its parent company's problems.

Mike Hollis, Schmidlin UK managing director, said: "Our clients are anxious to know we can meet the local delivery programmes.

We very much hope to have the continued support of our clients to complete our current contracts."