A UK automotive pressings supplier, employing around 350 people in Coventry, reportedly has been put into administration.
CovPress Assembly Limited, with a GBP40m turnover, has “not generated the anticipated profitability”, administrator Deloitte told BBC Coventry and Warwickshire. No redundancies have yet been announced, administrators added.
Associated company CovPress Limited was recently bought by Liberty House, securing 740 workers’ jobs at a plant in Canley, the BBC reported.
Delotte said the business would continue to trade and work with customers to fulfil existing orders.
It added the company had been seeking a potential buyer, however, this was unsuccessful and the directors had no alternative but to place the company into administration.
Matt Cowlishaw, joint administrator, said: “We are hopeful that the administration process might now draw out interest in a sale of the business.
“The business operates from a state of the art facility, with a skilled workforce, capable of working in partnership with global automotive companies. Meanwhile, we are continuing to trade the business and work with customers to fulfil existing orders.”
Coventry was once the heart of the British motor industry, Canley was once home to the sprawling Standard Triumph complex. Although most of the automakers and parts makers are long gone, the region remains home to numerous suppliers.