Covt (Realisations) Limited (00382553): administration
- Status
- Administration ended
- Administration began
- 2012-10-30
- Administrators' firm
- PwC
- Formerly
- LTI Limited; Carbodies Limited
- Incorporated
- 1943-09-04
- Location
- Leeds
- Industry
- 29100 Manufacture of motor vehicles
Why it went into administration
- Supply chain disruption
- Funding withdrawn / unable to refinance
- Sustained trading losses
From the administrators' statement
The Group had been restructuring its UK business with the aim of improving profitability, together with working with Geely to exploit the overseas market, and in the future act as a dealer network for Geely’s own cars
Aculmination of several issues led to the Companies being placed into administration, including ongoing losses, supply chain issues, warranty costs and the discovery of accounting errors Most recently in October 2012, the discovery of a steering fault resulted 1n the recall of around 400 vehicles and a voluntary suspension of sales which had an immediate and detrimental impact on the Companies’ cash flows. MBH’s shares were suspended whilst the Group sought to secure sufficient funding to continue to trade
The Directors were unable to secure sufficient funding to continue to trade and consequently the directors placed the Companies (together with MBPSL and MBSL) into administration on 30 October 2012
Administrators' statement of proposals (2012-12-06) · Companies House register