Zaptronix, which has been beset with problems since taking on the Hitachi Kidcard project, says it is in talks that could result in a restructuring of its business.
Earlier this year, the group, which plunged into the red in its financial year to April, announced that it intended to delist.
The poor year-end results were mainly as a result of lengthy delays in the Kidcard project.
The problems were also compounded by the fact that Hitachi Europe had undergone several internal changes, and a number of people with whom Zaptronix had built relationships had left Hitachi or were retrenched.
Zaptronix has been heavily dependent on the project, as it freed up production capacity to fulfil orders.
The company said in July that it had spent the preceding six months trying to restore its "old commerce" business, the specialised outsourced manufacturer of electronic assemblies, to profitability so it could fund the "new commerce" ventures.
CEO John Heath said the company, which intended to delist as a result of changes to JSE listing requirements, would seek a suitable partner and put a proposal to shareholders.
The latest company announcement says only that Zaptronix is now in talks which, when concluded, may involve a restructuring of the business.
It has warned shareholders to exercise caution when dealing in their shares until a full announcement is made.
The Zaptronix share was trading 1c or 16.67% up at 7c on the JSE this morning.
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