Backers of the loss-making ilke are understood to have approached three major house builders in an effort to attract further investment into the business.

Those thought to have been approached include Barratt, Bellway and Taylor Wimpey.

The firm revealed last Friday that work had been stopped on sites and its 250,000 sq ft factory in Knaresborough, North Yorkshire while a backer was being sought.

Ilke and its advisers have been exploring fundraising options and the existing backers hope to secure a future for the business via a sale or investment, to enable it to deliver on its 4,200-home pipeline and protect its workforce.

Any bid for the business will need to be submitted before the end of next week when the future of the modular firm will be decided.

Established five years ago, ilke Homes’ client base includes major institutional investors, housing associations, volume house builders and local authorities.

Just six months ago, ilke raised a record-breaking £100m from new and existing shareholders. US-based investor Fortress led the equity investment fundraise, with existing shareholders TDR Capital and Sun Capital also subscribed.

This came after a £60m injection in November 2021. The latter fundraise was split between a £30m loan from government agency Homes England and £30m of equity from investors.

Ilke said that it’s £1bn order book was predominantly made up of affordable homes, meaning that without a new investor, much-needed housing would not be delivered.