After weeks of “intensive” negotiations, PricewaterhouseCoopers has announced the assets of Birmingham van maker LDV have been sold to Eco Concept Ltd.

The Chinese-owned company said it plans to start a new business in the West Midlands producing and assembling low volume specialist LCVs.

Clive Griffiths, CEO of Eco Concept, said: “Vehicle trials should start within the next 18 months with projected sales rising to initially 2,000 units per year and employing in the order of 200 staff.

“We will utilise our special overseas connections to help develop fuel-efficient power trains as well as securing certain low cost components.

“The current sites production facilities are designed for high volumes of 80,000 vehicles per year. In reviewing its size, condition and cost structure we have concluded that it would not meet our ongoing needs and therefore it is not viable to continue at this location.

Eco Concept is owned by Dr Qu Li, chairman of the automotive consultancy China Ventures. Dr Li said: “I am very pleased that negotiations with the administrators have reached such a successful conclusion, and furthermore I can confirm that we have secured co-operation and ongoing support from a number of international automotive manufacturers and distributors.”

Formal completion of the transaction should occur within the next four weeks, following which it is Eco Concept’s intention to relocate the assets from their current site in Washwood Heath, Birmingham.