London black cab maker Manganese Bronze calls in the administrators

14:51 22 October 2012

The makers of the famous London taxis have gone into administration. Picture: Dominic Lipinski/PA Wire

The makers of the famous London taxis have gone into administration. Picture: Dominic Lipinski/PA Wire

The maker of the distinctive London taxi is to appoint administrators after it failed to secure a funding boost from one of its largest shareholders.

Coventry-based Manganese Bronze was reportedly in talks with Chinese private automaker Geely, which owns a 20% stake in the firm, over a £15 million loan.

But the group, which recently recalled 500 black cabs due to a steering box fault, said it had been unable to secure funding with various parties and will bring in administrators.

Manganese, which employs nearly 300 staff and traces its roots to the 19th century as a maker of ship propellers, recently reported wider half-year losses of £3.6 million.

Earlier this month, Manganese Bronze said it had discovered a defect with new steering boxes in its TX4 models, which were introduced in production at its Coventry factory in late February.

Manganese said it discovered the fault after two cab drivers reported problems with steering, but stressed there had been no crashes or injuries as a result.

It warned that the recall and sales suspension would have a “material and detrimental” impact on its cashflow and said it was looking at options for the firm.

The group is urgently contacting drivers of the 400 affected vehicles to make sure they are taken off the road.

In its statement today, Manganese added that a “speedy resolution” of the product recall remained a top priority for the group, which will continue throughout the administration process.

It said it “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”.

Manganese has been loss-making for the past four years as its London Taxi arm has been hit by a consumer spending slowdown and increased rivalry from competitors, such as Eco City vehicles.

The group’s London Taxi Company division makes about 2,700 cabs a year and has produced more than 100,000 since it started in 1948. Its newest model, the TX4, was launched in October 2006.

Latest Stories

Ruislip was hit with torrential rain overnight leaving the town centre badly flooded this morning (Picture: Twitter/@souvikdash)

The Monday morning commute is not exactly most people’s idea of a good time but it was made a lot worse for those in west London this morning after flash flooding.

Read more
This Vauxhall Corsa flipped over and landed on its roof this morning in Lambeth. Shocked Twitter users captured the scene [Photo courtesy of @k111777]

A car has flipped over dramatically on Brixton Road, Lambeth.

Read more
33 Portland Place looks peaceful on the outside, but if these walls could talk... [Photo from Google StreetView]

A swanky 24-bedroom house in the West End that was Britian’s answer to the Playboy mansion is up for sale – because its fraudster owner needs the cash for legal fees.

Read more

TOP Stories

Ruislip was hit with torrential rain overnight leaving the town centre badly flooded this morning (Picture: Twitter/@souvikdash)

The Monday morning commute is not exactly most people’s idea of a good time but it was made a lot worse for those in west London this morning after flash flooding.

This Vauxhall Corsa flipped over and landed on its roof this morning in Lambeth. Shocked Twitter users captured the scene [Photo courtesy of @k111777]

A car has flipped over dramatically on Brixton Road, Lambeth.

33 Portland Place looks peaceful on the outside, but if these walls could talk... [Photo from Google StreetView]

A swanky 24-bedroom house in the West End that was Britian’s answer to the Playboy mansion is up for sale – because its fraudster owner needs the cash for legal fees.

Promotions

Renault-Zoe

The Renault ZOE follows on from the introduction of the electric Fluence ZE and Twizy, but unlike the former, the Zoe was designed from the ground up as an electric vehicle.

When no simple way to find Real Ale was at hand, 4 Ale enthusiasts got together to allow anyone with a smart phone to find Real Ale no matter where they happened to be, this was the birth of the Perfect Pint app.

London24 have partnered up with The Week magazine to offer you a complimentary issue – delivered free to your door.

London Bloggers

Thursday, July 24, 2014
London comedians are preparing for Edinburgh (Photo by Jeff J Mitchell/Getty Images)

During these sultry July afternoons and endless balmy evenings the nervous musings of young comedians in London drift to dreams of triumph on the Edinburgh stage.

Thursday, July 24, 2014
Punchdrunk's The Drowned Man poduction came to an end on Sunday, July 6

If you’ve been wandering around bereft of purpose, a wet-eyed stare fixed on your blank face, then no doubt you too are as gutted as I am that The Drowned Man has finally come to an end.

Thursday, July 24, 2014
(Photo by Joern Pollex/Getty Images)

We’ve been called P.I.G.S.

Quizzes

How much do you really know about QPR legends like Les Ferdinand? Picture: Neal Simpson/EMPICS Sport

Test your knowledge of QPR’s greatest players with our fantastic legends quiz.

Read more
Quiz-1

Do you know your Lock Stock from your Long Good Friday, Sliding Doors from Shakespeare in Love?

Read more
How much about this great city do you really know? Take our true Londoner quiz and find out (Photo by Matt Cardy/Getty Images)

Do you know your apples from your pears? Take our Cockney quiz and see how much of a Londoner you really are.

Read more