Spansion Inc. (Nasdaq: SPSN) missed making an interest debt payment in mid-January, and may consider merger opportunities or the sale of certain domestic or foreign operations as it faces increasing challenges like higher debt, increased competition and declining prices for its products. The flash memory chip maker has hired Barclays Capital to help evaluate alternatives. Spansion could also pursue balance sheet restructuring options. In mid-November, the Sunnyvale, Calif.-based company said it expects fourth-quarter sales to decrease about 20 percent from the $630.9 million generated in the third quarter. The revised view suggests fourth-quarter sales of $504.7 million.
Sunair Services Corp. (AMEX: SNR) plans to review a possible sale. The Boca Raton, Fla.-based provider of pest control and lawn care services has hired Hyde Park Capital Partners LLC to look into strategic options. For the fiscal year ended Sept. 30, 2008, Sunair’s loss widened to $6.5 million from $2.6 million a year earlier. This period included a loss from the discontinued operations of Percipia Inc., which generated earnings in 2007.
A few months after rejecting a $198.6 million buyout offer from shareholder KarpReilly Capital Partners LP, Charlotte Russe Holding Inc. (Nasdaq: CHIC) is evaluating a possible sale. The women’s apparel retailer is also considering other strategic alternatives. Charlotte Russe said it has already received “potential expressions of interest from third parties.” For the first quarter ended Dec. 27, the San Diego-based company swung to a loss of $2.9 million from profit of $14 million a year earlier. Charlotte Russe operates 495 stores in 45 U.S. states and Puerto Rico.
XTENT Inc. (Nasdaq: XTNT) is mulling the sale of some or all of its assets. The developer of medical devices plans to hire an investment bank to help it decide which strategy to pursue. The Menlo Park, Calif.-based company wants to review its options because of the continued challenges faced in the capital markets. XTENT plans to reduce activities and costs to a “critical minimum” to preserve cash and flexibility. Part of this effort will include a workforce reduction from 121 to nine, effective March 23, 2009.