Safestyle UK PLC (AIM:SFE) has warned that shareholders are unlikely to receive anything from a potential sale of all or part of its business.
Also announcing the suspension of its shares on the AIM index, the PVCu replacement window manufacturer dealt the blow to shareholders on Friday.
“As negotiations progress with interested parties, it has become increasingly unlikely, in the reasonable belief of the directors of Safestyle, that any proposed sale, even if it was completed, will result in any return to shareholders,” the firm said.
Safestyle had updated that it was in “active discussions” with interested parties over a potential sale on Thursday.
Talks over prospective financing or a cash injection had so far been unsuccessful, the group added.
Given the “ongoing financial uncertainty”, alongside “limited working capital”, Safestyle submitted a request to suspend trading of its shares from 7:30am on Friday.
Shares had slumped by over 80% since Monday on news of the company’s struggles.