Ardagh Holdings has instructed advisers to prepare for a potential sale of Ardagh Metal Packaging (AMP), according to a statement issued by the Luxembourg-based can maker.

AMP said its parent company, Ardagh Holdings, had filed an amendment to its Schedule 13D statement with the US Securities and Exchange Commission (SEC), setting out plans to explore a possible sale of the business.

Under the contemplated process, Ardagh Holdings could sell some or all of its indirectly held equity interests in AMP to a third-party buyer. A potential transaction could also see Ardagh Holdings acquire the ordinary shares in AMP that it does not currently own, to facilitate the sale of the entire company to a third party.

However, no deadline or definitive timetable has been set for the potential sale process. Any further steps, including the terms and timing of a transaction and the selection of a buyer, would require approval from the Ardagh Holdings board. The company also cautioned that there was no assurance the process would result in a transaction.

AMP separately outlined the potential cost implications of becoming a standalone business following any sale. The company and its subsidiaries currently receive administrative and other support services from AGSA, a wholly owned subsidiary of Ardagh Holdings, covering core corporate functions, shared services and some group-wide purchasing arrangements.

If a sale is completed, AMP expects this services agreement to be terminated in whole or in part. It estimates that replacing the services on a standalone basis would result in approximately $30 million in additional annual costs.

Ardagh Holdings said it did not intend to comment further unless its board approves a specific course of action or determines that further disclosure is appropriate.

Evercore International Partners has been appointed as financial adviser to Ardagh Holdings, with Kirkland & Ellis International acting as lead legal adviser.