LDV Group is a Birmingham, UK based light commercial vehicle manufacturer with production capacity of 13,000 units annually. LDV's leading brand is the Maxus range of vans and minibuses.

LDV would offer SAIC the option to produce light commercial vehicles in the UK, reports the Daily Mail.

LDV has been developing a fleet of electric vehicles for which is has already built prototypes. But it needs further investment to develop the vehicles for volume production, according to the newspaper.

In China SAIC has not denied that it is in talks with LDV. "There's nothing we could release or comment regarding LDV at this moment," says an SAIC spokesperson.

In February the UK government refused to loan 40 million pounds (431 million yuan) in state aid to help the vehicle maker.

The Daily Mail reports that SAIC is offering between 6 million and 8 million pounds (64.7 million yuan and 86.3 million yuan) for the vehicle maker. Accountants Price Waterhouse Coopers are the administrators' for LDV.

The newspaper also says SAIC is expected to move some of the light commercial vehicle production from Birmingham to SAIC's plant in Longbridge, UK, which now makes MG brand cars for the UK market.