Electric van maker Modec in Coventry has gone bust.

The company, whose vehicles have been tested by local authorities and companies such as Tesco, called in administrators from Zolfo Cooper on Friday.

They made 25 of its 63 staff redundant, and hope to sell the business.

 Modec secured a £23m grant from the US government in 2009 to jointly make electric vans for the American markets with US firm Navistar.

It expected to sell 400 vans overseas last year, but US customers ordered nine, put down to the difficult economic climate.

Only 400 vehicles had been made since Modec's launch in 2007.