Engineering materials group Versarien has appointed Leonard Curtis to conduct an accelerated sale of its remaining assets as part of a fire sale that is likely to leave shareholders with little value, if any.
Versarien has died a long, drawn-out death. But the end of the company is nearing, and shareholders could soon be put out of their misery.
After failing to gain any meaningful traction and racking up debts in the process, Versarien is seeking to sell off core assets to pay off liabilities.
The company is seeking offers by early September for Versarien plc and its stakes in Gnanomat SL and Total Carbide Limited.
The move follows cost-cutting measures including placing Versarien Graphene Limited into administration and liquidating two subsidiaries, extending the cash runway until end-August. Whilst dialogue continues with a strategic investor announced in March, the board warns there’s no certainty either this investment or asset sales will complete in time to avoid administration.
If asset sales proceed, proceeds are likely to fall short of group liabilities, potentially forcing the company to cease trading and enter administration. This would suspend AIM trading and leave shareholders with no expected return.