Black cab maker Manganese Bronze calls in administrators
The taxi firm, Manganese Bronze Holdings, who manufactures the iconic London black cabs, has gone into administration.
PricewaterhouseCoopers have been unofficially named as the administrators for the firm, although this remains unconfirmed by the company.
Manganese Bronze said on Monday that attempts to secure funding to support the company had failed, after it recalled 400 of its TX4 taxis because of a fault with the steering box.
Further sales of the model were halted as a result of the defect, which has been connected to a part manufactured in China.
In a statement earlier this month, the firm said: “The suspension of sales will have a very material and detrimental impact on the Group’s cash flows and the board are working to establish the options available to the business given the impact on working capital.”
Monday’s announcement has put approximately 300 jobs at risk at the Manganese Bronze factory in Coventry, where the faulty steering box was made.
The company said: “The Board remains hopeful that the fundamental strengths of the company, the TX4 model and its global reputation will provide the platform for a successful business in the future.”
Half yearly results announced at the end of September were disappointing for the firm, after losses increased by 51.6% and revenues fell by 11.3%.
The business has said its focus would remain on resolving the defect in its TX4 model, and a further announcement would be made after administrators are appointed.
This was posted in Bdaily's Members' News section by Miranda Dobson .
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