Dowlais Group Explores Sale of Powder Metallurgy Business

Pre-Tax Profit Decline and Revenue Drop Drive Strategic Evaluation

Company Statement Confirms Exploration of Potential Sale

[Insert City, Date] - GKN Automotive owner Dowlais Group has announced it is exploring the potential sale of its Powder Metallurgy business. The decision follows a 32% decrease in pre-tax profit to £95 million for the six months ended June 30, alongside a 92% decline in profits from continuing operations.

In a statement released on Tuesday, Dowlais confirmed that it is considering a potential sale to maximize value for its shareholders. The Powder Metallurgy business, formerly part of the GKN Group, manufactures powder metal parts for the automotive and industrial sectors. Despite the recent challenges faced by the automotive industry, the unit continues to have a strong market position and a reputation for high-quality products.

The exploration of strategic options underscores Dowlais' commitment to enhancing shareholder value and positioning the company for future growth. The company will provide further updates as appropriate.