Van maker LDV said today it had postponed filing for administration following the offer of a government loan to facilitate its takeover by Malaysian vehicle importer Weststar.
LDV's marketing director Guy Jones said a new hearing to make the case for continuing to operate the company would be held on May 13. He said "major steps" still needed to be taken and the 11th-hour deal did not mean all jobs were safe.
"It will secure as many jobs as possible but the marketplace will determine how many jobs are required," he said.
He could not give a date for when production would resume.
The Birmingham-based van maker, which employs 850 people, has been hit hard by the recession and has not been producing vehicles since late last year.
The company, owned by Russian carmaker GAZ, said last week that it planned to file for administration today.
Britain's Department of Business, Enterprise and Regulatory Reform agreed Wednesday to grant a bridging loan of up to 5 million pounds until Weststar has completed due diligence on LDV.