ECON Engineering, the Ripon-based manufacturer of highway maintenance equipment, has sold its hedgecutter business for an undisclosed sum.

The buyer is McConnel, a major hedgerow and grass maintenance machinery manufacturer, from Manchester.

Econ chairman Bill Lupton, who invented the flail mower system in 1960 said: "The Hedge Master flail mower was Econ's only remaining agricultural product and it therefore made sound economic sense to sell it to McConnel.

"The product, which is extensively used by contractors and has a long-standing reputation for reliability, is the only mid-mounted flail mower on the market. It therefore fits in perfectly with McConnel's range of rear-mounted machines.

"In addition, the Hedge Master already meets the anticipated change in EEC regulations which will require that all machines operating on the highway must have front or mid-mounted flail mowers. "

The deal allows Econ to concentrate on its successful core business of designing and making road gritters at its factory in Boroughbridge Road.

And it comes as the Ripon firm announces a £500,000 deal with Serviceteam, an outsourcing company specialising in the local government sector.

Serviceteam was awarded the largest major outsourcing contract of its type for the London Borough of Lambeth in 1997, involving a £10 million Private Finance Initiative investment and including winter maintenance of all Lambeth's roads.

Econ's equipment will be used in the process, including four QCB 2000 swap body vehicles with spreading and jetting units for salt gritting and cleaning road gullies. It is also supplying six 14 tonne Leyland Daf 55 series chassis

The company also recently won major contracts in Northern Ireland and Scotland.