The purchase will support the creation of a new division and the expansion of one of its existing operations.
A-Belo Ltd, which manufactures hazardous lights, went into administration earlier in November.
Assets secured from A-Belco Ltd’s hazardous area operations will be utilised to expand the group’s growing Barrier-Ex division, which provides specialist technology to industries dealing with potentially explosive atmospheres.
In addition, Barrier Group has secured assets from one of A-Belco Ltd’s engineering divisions.
The new division will support the recently-established Barrier LED business, and will be led by Steven Lee, who is managing director of Barrier-Ex Ltd.
He has most recently secured the services of two former A-Belco Ltd employees, Matthew Gibbard who will join the newly-created division and Steve Baron, who will join Barrier Ex.
Steven Lee said: “The acquisition of these assets will enhance the scope of Barrier’s capabilities and lead to the creation of new jobs. A-Belco Ltd had a very skilled and experienced workforce and we are delighted to welcome two members of their team into the business immediately.
“We aim to be able to offer further employment opportunities in the near future, which we hope will attract applications from other former A-Belco Ltd employees.”
Robert Bowles, chairman of the Barrier Group, said: “It was disappointing to hear about A-Belco Ltd, which has been an important part of the North East supply chain for a number of years.
“However, a number of its operations are complementary to our activities and has presented the opportunity to grow our position in new and existing markets.”