Irish bathroom suite maker Qualceram Shires Plc has confirmed a preliminary approach from a third party interested in buying the company.
"It should be emphasised that discussions are at a very early stage and that there is no certainty that they will lead to an offer," the company said in a statement.
The company received slightly less than expected for the sale of its former headquarters in Arklow, Co Wicklow, to developer Cova last month.
The company expected to sell it for €31 million, sold for €30.025 million, to eradicate the company's debt and allow it to further cut costs, according to the company.
The company last year announced a 38 per cent drop in profits from the €3.9 million achieved in 2006. In the first half, the group recorded a pretax profit of €2.1 million meaning that in the second half, it would only make €300,000. Full-year sales will lag expectations by between 8 and 9 per cent, it said.
Revenues reflects decreased income manufactured products and lower from Ireland geographical segments. Net income also reflects a decrease in gross margin, absence of other operating income and higher income tax expenses.
The company's shares were up 12.24 per cent in early trading in the Iseq.