The firm, which celebrates it 21st anniversary this year, has been bought out by managing director Martin Green with support from a private equity group.

Founded in Lynn as a family firm by Nick and Mike Ison, Pandora Books is a leading supplier of book collections to schools.

It has seen significant growth over the last few years, especially through its catalogue business, and the latest development means that there will be further investment in the operation.

Mr Green said: "The Pandora team is very excited at the opportunities made possible by the new investment.

"We have just recruited a new Internet marketing manager who will shortly be joined by new sales and marketing and finance directors to replace the retiring partners.

"We are also finalising plans for expanding our offices and warehouse to support the ongoing growth of our business."

The capital investment, through Key Capital Partners, of Cambridge, will also expand the catalogue side of the company and set up a new specialist website.

Pandora Books employs just over 70 staff at Rollesby Road on the Hardwick Industrial Estate.