Versarien shares have recovered slightly in morning trading following the Cheltenham-based advanced materials engineering group making a statement to the Stock Exchange.

The listed firm, whose world-leading graphene production manufacture is based from their Chosen View Road home in Cheltenham, have seen shares fall in the first months of 2020.

On January 20, shares were trading at 84.5p, but had fallen as low as 49p at the close of trading on Friday.

That prompted the firm to release a statement to investors ahead of trading opening on Mon-day morning.

The statement said: "Versarien plc, the advanced materials engineering group, notes the re-cent reduction in the Company's share price and confirms that it is not aware of any material basis for the decline.

"The Company reaffirms that, in line with the interim statement released on 12 December 2019, it remains focused on its graphene commercialisation strategy and the projects with its commercial partners, prioritising those that it deems most likely to produce near-term reve-nue streams."

The statement added that the firm will continue to fund its 62 per cent-owned subsidiary Gnanomat SL to ensure its "continued development."

The Spanish nanotechnology firm will receive a loan of around €300,000 this month to fund its working capital as Versarien "does for its other graphene technology businesses."

The statement added: "The Company can also confirm that as at 31 January 2020, its cash at bank was £1.53 million and the available cash from its banking facilities was £0.72 million; a total of £2.25 million available to the Company."

Shares rose by around five per cent in early trading on Monday and by 11am were priced 51.50p, up by 2.5p.