Saint Gobain, parent company of builders merchants Jewson and plumbers merchants Graham has stopped buying vehicles from LDV after the Birmingham van-makers went into financial difficulties.
All production at LDV’s factory stopped in December and, as all remaining stock is now sold, they cannot meet new orders.
Earlier this year, LDV signed a 500-vehicle solus deal with Jewson, worth £300m, to provide all the merchant’s vans
However, since there is little chance of production starting up again, Jewson have been forced to source their new vans elsewhere.
A statement from Saint Gobain said: “Saint-Gobain can confirm that it will no longer be procuring vehicles from LDV. A contingency plan to ensure our vehicle supply requirements are met is in place and this has been implemented immediately.”
LDV’s Russian owner Gaz was in negotiations with a foreign investor to try to secure the company’s future, but these failed.
The company was due to be put into administration, but this has been postponed after a bridging loan from the Government today to secure a takeover by Malaysian group Weststar.