Shares in Fire Angel Safety Technology Group PLC, the home safety products specialist, dropped 24% in morning trading after it warned of “material uncertainties which could impact the company's future cash forecasts and banking covenants”.
The update was provided alongside interim results, which pinpointed the upcoming termination of a manufacturing supplier contract as an issue.
At the moment, the business is looking to realise cash for certain assets, while a strategic review is underway.
"The significant headwinds facing the company are being addressed, the benefits of which will start to bear fruit in 2024,” said FireAngel chairman Andrew Blayze.
In early trading, the stock was off 0.75p at 2.4p.