Businessman Jim McColl is in line for a huge dividend after selling his firm, Clyde Union Pumps, to a US investor for £750m.

The former apprentice at the company, now one of Scotland's richest men, confirmed a deal was struck late on Wednesay night to sell the Glasgow-based firm to American Fortune 500 company SPX Corporation.

Employees arriving at the pump manufacturing business today will be told of the change of ownership, which bosses said will not lead to job losses.

Clyde Union will continue to be run as a standalone business with a head office in Glasgow, under the leadership of the same management team. It has around 2000 workers worldwide, with 900 staff based at Cathcart.

It was sold by East Kilbride-based parent group Clyde Blowers, of which Mr McColl is chairman and chief executive.

Mr McColl, who began his career aged 16 as an apprentice at what was then Weir Pumps, said the sale had been an emotional decision.

He said: “My goal at the start was to take a company that was on the brink of closure when we bought it and rebuild it into the world-class business that it once was and should be.

“We leave Clyde Union with a very healthy order book, and in the ownership of a trusted buyer that will take it to the next level.”

The Weir Group sent shockwaves through Scottish engineering in 2007, after announcing plans to sell Weir Pumps to Swiss rival Sulzer.

But the staff-slashing deal collapsed and the factory was saved by Mr McColl, whose £48m acquisition rescued the historic factory and secured 550 skilled jobs.

Since then the company has grown in size to employ 891 people at Cathcart and 2037 others globally.

Mr McColl was keen to emphasise that SPX will continue to grow the business. He added: “As a very large corporation, we firmly believe SPX can provide investment and be a safe custodian of our business going forward.

“I made it clear to them that I had more invested in the company than just money. I told them I had strong emotional investment, and I genuinely wanted to see the business and the employees go on and prosper.”

North Carolina-headquartered SPX is a publicly-traded company with annual revenues of $5.5bn, employing more than 15,000 people in 35 countries. Clyde Union will be part of SPX’s Flow Technology business, which brings in $2bn in annual revenue.

Don Canterna, president of SPX Flow Technology, said: “We see tremendous value in Clyde Union’s products, brands, factories, and most importantly, its people.  Americans know and respect Glasgow and Scotland’s place in engineering heritage.

“We are here for the long-term, and we believe we are the ideal owner for this business.”