One of the few remaining listed companies headquartered in the West Midlands has put itself up for sale.
Hampson Industries, which put two of its subsidiaries up for sale in November, has been struggling of late due to the downturn in the aerospace sector.
The Brierley Hill-based company has £54.9 million in debt, more than double its current market capitalization, and has been working to refinance its bank facilities.
In the statement, the group said it continued to focus on refinancing its bank facilities, however, the board believed it prudent to review all financing and strategic options for the company, including the sale of the business.
“In the context of a potential sale, the board has appointed DC Advisory Partners and Sagent Advisors Inc. to conduct a formal sale process for the entire issued or to be issued share capital of Hampson as part of the assessment of strategic options,” it said.
In a management statement covering the period from October 1, 2011, the group said it had achieved revenue of £55.6m.
It added: “Issues have been identified during the testing and customer approval process for the group’s largest tooling order, which mean that some deliveries are now expected to move from fiscal year 2012 to 2013.
"The group is assessing the overall effect on revenue and profit in the light of on-going discussions with the customer.”
As well as the downturn in aerospace, the company also lost a High Court battle with investors who successfully claimed that senior management had not disclosed the loss of a key client when selling a subsidiary.
The managing director and finance director at the time of the deal both left the company before it went to court.