A FORMAL civic celebration was taking place today over a £23 million buy-out of a high-tech York firm.

California-based Accent Semi-Conductor Technologies, has acquired the semi-conductor measurements division of Bio-Rad, which employs 90 people at its headquarters in Haxby Road.

They are among 200 Bio-Rad employees worldwide who manufacture control equipment monitoring production of microchips that drive computers, mobile phones and an increasing number of household appliances.

The deal has been hailed as "massive news" by Anna Rook, project manager for Science City who anticipates huge employment over a wide range of disciplines as a result.

No assessment has yet been made of how many new jobs will be created by the takeover, but Bruce C Rhine, chief executive of Accent, said that to meet customer demand, his group now faced the challenge of stepping up capacity by 400 per cent over the next six months in York.

Mr Rhine flew to Britain in time for this afternoon's formal opening of the new-look company by the Lord Mayor of York, Coun Shan Braund - a firm which will now be known as Accent Semi-conductor Technologies (UK Ltd).

It is being split into two - an opto-electronic division headed up by Dr Stephen Blight, the former Bio-Rad divisional general manager; and Greg Kaiser will lead a silicon division. Both will be titled vice president and general manager.

Also at the York premises was Dave Schwartz, head of the Bio-Rad Group in Hercules, California, which will now concentrate on its life science research products, clinical diagnostic equipment and analytical instruments.

Anna Rook said: "It is massive news considering the investment in a cutting edge high-tech company in our city."