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S4C has signed an agreement with university officials to relocate its headquarters to Carmarthen.

The University of Wales Trinity Saint David said an iconic building will be constructed for the broadcaster and other businesses, bringing together a range of expertise to provide training and other job opportunities.

Carmarthenshire council said 150 jobs could be created by the development.

Fifty S4C staff will relocate from Cardiff.

In March, S4C announced its intention to move its headquarters to Carmarthen.

And on Monday, S4C Authority chairman Huw Jones and university vice chancellor Prof Medwin Hughes signed the deal, known as a framework agreement, at the university's Learning and Teaching Building in Carmarthen.

Mr Jones said it was a "very important milestone".

'Make this a reality'

"Our intention at the outset of this process was to create a prosperous future for our service, while at the same time stimulating linguistic and cultural developments, as well as economic benefits to the region of our new headquarters," he said.

Prof Hughes said: "The vision is an ambitious one that offers the opportunity to create a unique and exciting entity that will impact positively on the economy, the community and the Welsh language across south west Wales."

Carmarthenshire council leader councillor Kevin Madge said: "University of Wales Trinity Saint David put forward a very strong case for S4C to make its new home in Carmarthen and we are delighted that they have now signed the framework agreement with S4C to make this a reality.

"The move will mean the creation of around 150 jobs and is a real boost to the local economy."

S4C wants its new HQ to be operational by 2018.