Leamington clutch firm Automotive Products Driveline Technology has gone into administration.
Neil Tombs and Paul Melville, partners of Grant Thornton's Birmingham office, have been appointed joint administrators of the firm.
The firm, which has a turnover of approximately £17 million, is continuing to trade for the time being.
The administrators were keen to stress that there were no immediate plans for redundancies although they noted that the "company performance is under constant review".
Mr Tombs said: "We are currently talking to the suppliers, customers and workforce.
"With their cooperation we will be able to continue to trade the business whilst attempting to effect a sale as a going concern."