THE ill-fated Terry's factory could be reborn as an international multi-million pound stables trading in some of the finest racehorses in the land.

For the prestigious Doncaster Bloodstock Sales (DBS) today confirmed it had looked at the former chocolate factory as a possible base for its £35 million operation.

The business, which sells hundreds of thoroughbreds every year, said York would be "at the top of the list" if it had to leave the Doncaster area.

The company hopes it will be given a new home as part of Doncaster Racecourse's £30 million plan to build a new grandstand - and a 500-stable bloodstock centre.

But with various aspects of that planning application - due to be submitted in December - shrouded in doubt, DBS said it might have to look elsewhere if permission for a new complex were not granted in the near future.

The company said the Terry's factory would be "an ideal place" for its expansion plans if the Doncaster scheme did not work out.

Managing director Henry Beeby said the company, which employed 60 people and sold horses valued at £35 million last year, had to move from its present site "if we are going to grow". He added that new jobs could arrive wherever the company's new home was situated.

DBS was launched in 1962 and has built up an industry-wide reputation for selling top-quality horses that go on to win major races.

The possibility of having DBS as its neighbour was also welcomed by York Racecourse chief executive William Derby.

He spoke of the chance to establish the city as a centre of excellence for racing and sales in the same way as Newmarket.

Mr Beeby said: "We have informally looked at a number of sites. Our first preference is to stay in Doncaster, but we have looked at the Terry's chocolate factory.

"It is something we are interested in and it would be an ideal place, but there has been no formal contact as yet. But if we can't relocate (in Doncaster) we would look to relocate elsewhere and York would be top of the list."

Mr Derby said: "DBS sales are a very well reputed company who will be selling 500 top-quality horses this year.

"They have got a very good reputation and anything that makes York a city of excellence for racing and sales is something to be welcomed.

"Newmarket is huge as a sales centre and racecourse, this would be something to rival that."

Updated: 09:57 Friday, September 09, 2005