Around 800 jobs are at risk after Covpress went into administration.
Administrators from Grant Thornton have acted quickly to assure staff at the Canley car parts manufacturer that there are no immediate plans to make redundancies as they try to stabilise the firm.
The Coventry-based firm had been enjoying growth since it was taken over by Chinese firm Shandong Yongtai in a £30 million deal in 2013, that was one of the biggest investments by a Chinese firm in UK industry at the time.
Joint-administrator Eddie Williams, of Grant Thornton, told BBC Coventry and Warwickshire: "The immediate priorities are to try to stabilise the business and to talk to the employees and update them about the position.
"The message to the employees is very much that there are no current plans around any redundancies."
Covpress makes body panels for Jaguar Land Rover and Renault, among others, and exports parts across the world.
The company's website says that since the Chinese-led takeover, £25 million has been invested in the Canley plant in both machinery and extra staff, describing it as "a real success story".
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Last year, the company also bought the nearby Honda supplier UYT, renamed Covpress Assembly, in a move that safeguarded 400 jobs at the time.
Football pundit Gary Newbon has had an ambassador role with Covpress for more than two years.
He said: "I am very sad to hear the news about the company going into administration. I know that Kit Halliday, the CEO, would have done his very best to avoid this.
"I don't know if Brexit had an impact. It is very sad for everybody involved and if Grant Thornton can do what they can to safeguard the jobs then that would be fantastic."
Trade union Unite says it has high hopes the 800 jobs can be saved.
Adrian Ross from the union told our sister paper the Coventry Telegraph : "We had been picking up rumours for weeks but that is all they were - rumours.
"I spoke to the company on Tuesday and I understood there was to be a shareholders' meeting yesterday. They said yes, we have got temporary cash flow problems but they were saying all along it is nothing to worry about.
"I understand the administrators are confident of finding a buyer for the company. At this moment in time they don't envisage making any redundancies.
"The company has a very healthy order book. They were even working overtime last weekend to supply Jaguar Land Rover and General Motors in Luton - their biggest customers."
