North Lincolnshire Council (NLC) has appointed SMG Europe to run a new multi-million pound entertainment venue, which is currently being built in Scunthorpe.

In addition to the £14m Baths Hall development, SMG Europe will also operate the town's Plowright Theatre after holding off competition from HQ Theatres as part of a competitive tender process. According to NLC, it is hoped the appointment will help attract a range of top musical artists to the town, while offering the most cost-effective solution for the operation of the two venues.

NLC leader Mark Kirk said: "This is of course subject to the conclusion of normal decision-making and contract processes including the mandatory Alcatel period. But nevertheless this marks a significant step in the project." Baths Hall is due to be completed in autumn 2011 and will include an auditorium with a capacity of 1,300 seating and 2,000 standing. Other facilities will include balcony seating and conference rooms.