The £10 lifeline deal which convinced BMW to sell Rover almost came unstuck when the Phoenix consortium failed to stump up the cash, it has been reported.
Phoenix, headed by former Rover chief executive John Towers, bought the Longbridge car plant in Birmingham from the German car makers on Tuesday for the nominal sum. But, according to the Sunday Telegraph, BMW is still waiting for the money and its lawyers, Norton Rose, have written to Phoenix demanding the payment.
During negotiations over the future of the car plant a £10 note was set aside for the payment by the group, but it was said to have been misplaced. Phoenix say the now slightly crumpled bank note has been recovered and is to be framed and presented to BMW.
The money will come as a small consolation for the German car maker. Rover has cost it billions of pounds over the last four years and, as part of the deal with Phoenix, it has to give the group £500m over the next three years and 80,000 unsold cars worth £1bn to take it off its hands.
Is the Editor of the Parkers website and price guide, formerly editor of Classic Car Weekly, and launch editor/creator of Modern Classics magazine. Has contributed to various motoring titles including Octane, Practical Classics, Evo, Honest John, CAR magazine, Autocar, Pistonheads, Diesel Car, Practical Performance Car, Performance French Car, Car Mechanics, Jaguar World Monthly, MG Enthusiast, Modern MINI, Practical Classics, Fifth Gear Website, Radio 4, and the the Motoring Independent...
Likes 'conditionally challenged' motors and taking them on unfeasible adventures all across Europe.
Latest posts by Keith Adams (see all)
- Blog : Rover 75 shown to the world – and torpedoed - 21 October 2018
- Concepts and prototypes : MG Rover RDX60 (2000-2005) - 21 October 2018
- The cars : MGF and TF development story (PR3) - 2 September 2018