Tanfield says it has recently been informed by the board of Smith Electric Vehicles (SEV) that the company has ceased all operations. It holds a roughly 5.76% stake in the share capital of SEV.
As reported in the FY 2015 results, the decision was taken by the board of Tanfield to impair the investment value of SEV to nil due to the uncertainty around its future and the level of funding it required.
In August 2016, the board of SEV stated it planned to centralise its operations in the US while retaining a presence in the UK as a branch of Smith USA Corp. But, due to a lack of funding, it recently ceased all activity in both the United States and the UK.
SEV's board confirmed that its CEOJohn Dixon, had retired and that the remaining directors were exploring possible funding options.
The SEV board also stated there was no guarantee they would be successful in raising the required funds and that without funding it was unlikely that the company would remain solvent.
Tanfield said it would provide a further update when appropriate.