conservatory firm Ultraframe could be taken over by a mystery buyer, it has revealed.

The Clitheroe-based firm, which employs about 450 people, has confirmed to the Stock Exchange it is in "advanced discussions".

The talks with the unnamed buyer are over a possible offer at 30p per share, which would put the value of the firm at £28million.

But Ultraframe bosses say there is no certainty over a deal being completed.

The news saw the company's share price fluctuate as high as 35p to a low of 29p yesterday.

The company said in a statement: "The board of Ultraframe has noted the increase in its share price today.

"The board is in advanced discussions about a possible offer for the whole of the share capital of Ultraframe Plc at a price of 30p per ordinary share.

"However, there is no certainty that an offer will be forthcoming."

Ultraframe is a specialist design and manufacturer of conservatories both for domestic and light commercial applications.

In February this year, Ultraframe announced its profits has slumped by more than £10million over the previous year.

Its operating profit for 2005 was £5.2million, down more than 66 per cent from £15.4million in 2004.

The fall was blamed on a tough market which resulted in fewer sales and the company being forced to cut prices.

At the company's peak in 2000, shares were trading at more than £6.

But recent years have seen as much as £500million wiped off its value.

Shareholders previously demanded answers and accused bosses of being too slow to react to changes in the market.

Earlier this year it emerged the largest manufacturer in the Ribble Valley could make up to 15 people redundant by the end of the year, as part of changes to its operations.

The news followed a small number of job losses in the wake of four profit warnings in 2004.

The conservatory business was founded by Langho man John Lancaster in 1983 and transformed him from a broke businessman into a multi-millionaire.

At the height of its success in 1997, he handed out shares to the workforce which gave them the chance to secure their financial futures.

The devout Christian resigned at Christmas 2002 and launched the Lancaster charity foundation.