Vanmaker LDV in administration as backer pulls out
LONDON, June 2 |
LONDON, June 2 (Reuters) - British vanmaker LDV is back in administration after potential Malaysian saviour Weststar walked away from a takeover.
LDV, which halted production last year due to a collapse in demand for its vehicles, said on its website on Tuesday it had reapplied for administration.
"The directors of LDV Group have been forced to reapply for administration to protect the assets of the business. This is due to the fact that essential funds required to maintain the business and workforce as a going concern are not being made available," the company said in a statement on Tuesday.
A source close to LDV said Weststar, which agreed a deal to rescue the firm last month, had failed to come up with the funds to complete the purchase.
LDV employs 850 staff in Birmingham, central England. (Reporting by John Bowker; Editing by David Holmes)
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