Former investors in a Derbyshire milk processing plant which collapsed weeks after opening have given their backing to the new owners.

Amelca opened at Foston last year with money from local farmers, but it closed just three months later.

The effects of foot and mouth disease, poor sales and the depressed state of the UK dairy market were blamed for the closure.

The plant has now been sold to Starcross, a company made up of previous and new investors.

Investments lost

Some 150 local farmers invested �7m in the Amelca plant last year.

Former shareholder and local chairman of the National Farmers Union, Michael Seals, said many people lost a lot of money.

"As an investor I lost money but as a non-dairy farmer it wasn't quite as bad as those who supplied milk to the factory.

"They not only lost their investment they were also creditors for the company as well.

"Some of these people lost a huge amount of money and I feel very, very sorry for them."