Applied Graphene Materials PLC (AIM:AGM, OTCQX:APGMF) has said it is in talks with a number of “interested parties” who have made non-binding proposals since it launched a strategic review in November this year.
The board, working with advisors Alvarez & Marsal, who were appointed to manage the review, are said to be in discussions with the parties with the aim of eliciting final proposals early next month and whittling this down to a preferred transaction to take to completion.
Some of the proposals would require interim financing in order to make it to completion, the company said, having previously noted that it has sufficient working capital to continue in operation until the end of January.
The company said at the time the review was launched that options under consideration included the use of a specialist debt provider, bringing in a strategic investor, or an accelerated sale of the group's trade and assets or its main operating subsidiary.
The talks may be “altered or terminated at any time”, it said, adding that the board has moved to “seek to protect the financial position of the company, its shareholders and creditors in the event that the strategic review does not achieve a satisfactory conclusion”.
Consultations that have been started with staff about statutory redundancy as part of the strategic review are also ongoing, the company noted.