Struggling Gloucestershire engineering firm Versarien is planning to sell off its remaining assets and subsidiaries for £200,000.
The AIM-listed business has signed a non-binding heads of terms with an unnamed º£½ÇÊÓƵ public company.
The announcement comes a month after the Longhope-based graphene maker said it was "progressing discussions" for a deal it considered would provide the best outcome for shareholders and creditors.
Under the latest agreement, the potential acquirer will buy Versarien's shares in Total Carbide Limited and Gnanomat SL, together with the patent and trademark portfolio held by Versarien and the graphene production equipment held by Versarien Graphene Limited, which is in administration.
The unnamed company will pay £100,000 in cash for the assets and approximately £100,000 for shares. It will also take on responsibility for an Innovate º£½ÇÊÓƵ Loans Limited loan of £5.7m.
It is understood that Versarien has entered into a period of exclusivity with the company until November 30 regarding the sale of the assets.
Completion of the transaction is subject to a number of factors including:
- documented novation by Innovate º£½ÇÊÓƵ Loans Limited, which has indicated its agreement to the transaction;
- formal agreement from HMG Investment Screening Unit relating to triggering the National Security Investment Act 2021 for the proposed acquisition of qualifying assets;
- and consent of both Versarien's and Gnanomat SL's shareholders at general meetings expected next month.
In a statement on Friday, Versarien said: "The company's actions to conserve cash continue and the board now anticipates that the company can continue to operate, with the support of its creditors, at least until the proposed transaction is completed, which is expected by the end of November 2025.
"If the transaction is successfully completed, the company would not have any operations and would become an AIM Rule 15 cash shell, at which point it would seek to settle its remaining liabilities and look for reverse takeover opportunities."
Versarian said the transaction would be subject to further due diligence by the acquiring business and warned there was "no certainty" it would conclude. But it added the board believed the deal was in the "best interests of all stakeholders".
It also said that if the deal fails to complete quickly, the board "may have no alternative but to seek to appoint administrators to Versarien plc".
