Shanghai, October 16 (Gasgoo.com) A Chinese businesswoman, possibly backed by China's auto giant SAIC, has bought British van-maker LDV's assets and looks set to move the operation to Longbridge and Shanghai, UK media reported yesterday.
Dr Qu Li's Eco Concept Ltd, a special vehicle engineering firm, has been named as the buyer of the collapsed Birmingham-based van manufacturer, ending a marathon nine weeks of negotiations and clearing the path for an entirely new business.
The new deal stokes fears that van production could go to SAIC's Shanghai base in China in a "lift and shift" operation similar to the MG operation at Longbridge, now owned by Shanghai Automotive Industry Corp (SAIC).
SAIC are understood to form a key element or investor of the new plans for the van-maker, with some sources suggesting main assembly will take place in China and only a limited presence in the West Midlands of UK.
Eco Concept plans to start a new company producing and assembling low volume specialist light commercial vehicles. It is hoped vehicle trials will begin within 18 months.
Around 200 staff are to be employed at the new business, which is likely to be relocated to Longbridge, currently home of SAIC-owned MG UK.
LDV went bankrupt in early June with debts of £75 million and the loss of more than 800 jobs following a dramatic slump in the commercial vehicle sales sector.
