UK enthusiasts prepare late bid for Rolls Royce

A team of British car enthusiasts is preparing a last minute bid for Rolls-Royce. The group, led by barrister Mr Michael Shrimpton, said it would be making a higher offer than Volkswagen's £430 million sterling bid to prevent the car company, which also takes in Bentley, from falling into non-British ownership.

The move is likely to spice up the bidding war and introduce a surprise element into the battle for Rolls-Royce between German carmakers Volkswagen and BMW, which has offered £340 million and supplies engines to the UK car company.

Mr Shrimpton said they were still putting the final touches before launching their offer but time was running out as they had until Friday before shareholders meet to approve the Volkswagen or BMW deals. He said: "We have been working on the bid this weekend. Our intention is to outbid Volkswagen and we hope to be launching a bid before Friday.

"We have to get it in before Friday but not leave it before the last minute. We are firming up the commitments and turning them into cash."

The group, known as Crewe Motors, is backed by a number of customers who buy Rolls-Royce and Bentley cars, and the company said it had put together enough financial clout to trump Volkswagen's offer.

"Our money is coming from customers who buy the car and we have backing from across the world, particularly in North America," he said.

Mr Shrimpton, who has been a barrister since 1983, said he had talked with BMW last Friday and the German company had confirmed that it would not increase its £340 million offer.

He added that he believed that BMW was stretched and that its shareholders and bankers would not approve a higher bid.

"We think this is a marvellous company with a good future. It is part of our national prestige, the flying lady carries the good name of this country and this applies more so abroad.

"We are confident that we can match VW's investment programme of about £310 million."

Mr Shrimpton said the idea to bid for Rolls-Royce came after a dinner at the Rolls-Royce Enthusiasts Club last November.

"I am a Bentley owner and I was appalled that it would be sold abroad. I asked whether anything was being done to keep it here, they said nothing was being done so I stepped into the breach."

Rolls-Royce cars, which is owned by engineering and defence group Vickers, was put up for sale last autumn.