HISTORIC Coventry car parts firm CovPress has been bought out of administration saving 740 jobs.
It ends months of uncertainty for workers at the Canley automotive company which supplies panels to Jaguar Land Rover and other companies.
It has been bought out by Liberty House Group, which specialises in steel and advanced manufacturing.
CovPress had been under administration with Grant Thornton since September when it was reported to have cash flow problems, until the Liberty House deal was completed overnight (Wedsnesday, January 11).
The 120-year-old firm will be renamed Liberty Pressing Solutions.
A statement on Liberty House Group’ website states: “Liberty Industries Group, part of Liberty House Group, which already has 17 engineering businesses employing over 1,000 people across the West Midlands, regards the CovPress acquisition as a strong strategic fit with its established and rapidly-expanding presence in the automotive supply chain.
“… The business, which will be renamed Liberty Pressing Solutions, has existed on the Canley site for 120 years. It has benefited from major investment in the latest plant and machinery since being acquired by the previous owners in 2013 and its engineers have established a strong reputation for devising innovative design solutions for customers.
“The CovPress product range covers body in white and trim components including A/B/C/D pillars, suspension housings, fuel tank protectors, stiffener frames and wheel arches for numerous mainstream vehicles.
“ABN AMRO Commercial Finance will be providing financing via an asset based facility.”
Referring to the latest acquisition, Douglas Dawson, chief executive of Liberty Industries Group, said: “We are very familiar with the high quality of the operation at Covpress and the skills and equipment in the business. As such we are extremely pleased they are becoming part of the Liberty Industries Group.
“We have drawn up a detailed plan to ensure the future sustainability and profitability of the business. That will include ongoing capital investment, strengthened financial management and the benefits that will come from joint purchasing and marketing with our other operations in the UK.”
Joint administrator, Eddie Williams of Grant Thornton, said: “CovPress is a fundamentally strong business. After an extensive sale process which involved significant expressions of interest, I am delighted to have concluded a sale which provides the workforce with some good news in early 2017.”
