Manganese Bronze shareholders back move to AIM

SHAREHOLDERS have backed proposals by London taxi manufacturer Manganese Bronze to transfer its shares to the Alternative Investment Market.

The shareholders gave their consent for the move to AIM at yesterday’s AGM.

Trading on the Official List will now end on June 11 prior to admission to AIM on June 14.
 
Earlier in the day the Coventry-based company had issued a statement to shareholders warning them that it was unlikely to make a profit this year due to difficult trading conditions and declining taxi sales.

The company, which ceases production at Coventry later this year with the loss of 60 jobs, is pinning its hopes on a strengthening joint venture with Chinese firm Geely.

A share placing with Geely has been approved, a move that will see the Chinese firm become MBH’s major shareholder.

In return, the company will manufacture body panels and other parts and then ship them to the UK for assembly.

The move could lead to production cost savings of £4m.

The link-up will also give MBH access to Asian markets , where major growth opportunities are available.

A saloon version of the iconic vehicle is also in development and is set to go on sale in China shortly.