A total of 30 new jobs should be created by the investment

The Scottish Enterprise Borders funds will help support recruitment and training at Hawick Knitwear.

SEB said the investment would help the company to "expand its production capabilities" in the region.

Managing director Benny Hartop said the financial package would help the firm to continue to "grow its business" based in Hawick.

SEB's senior director of operations David Gass said the region's reputation in textiles and the availability of skilled workers had persuaded Hawick knitwear to consolidate its UK operations in the Borders.

"We are delighted to be able to work with the company on this project, which will deliver new employment opportunities in the Borders and also to help increase productivity within the company," he said.

'Training support'

Hawick Knitwear is one of the largest knitwear manufacturers in the UK, producing cashmere and lambswool knitwear.

Mr Hartop said the company believed the latest move reaffirmed its commitment to the region.

"The training support from SEB will enable us to offer the right training so we attract the right workers and enable us to continue to grow our business in Hawick," he said.