23 Oct '12, 11am

New blog posting, London's Famous Black cab in Administration

Manganese Bronze, whose taxis have been on British streets since 1948, had been in talks with its largest shareholders, including China’s Geely Automobile Holdings Ltd, to secure a last-minute bailout. “The issue here was not a lack of opportunity around the quantum of support being offered,” Chief Executive John Russell told Reuters on Monday. “It was around the ability of Manganese Bronze, a company with a very weak balance sheet, to take on the level of debt required.” Russell said the company had discussed an injection of “tens of millions” of pounds with parties including the company’s two largest shareholders, Geely and Toscafund Asset Management. Accounting firm PricewaterhouseCoopers is set to be appointed as administrator. Earlier this month, the company had said its financial position was unclear after the discovery of a safety defect in its new TX4 model that le...

Full article: http://legaledoff.com/2012/10/23/londons-famous-black-cab...

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