Fears for the survival of Laura Ashley are mounting as it scrambles to secure more funding after another slide in sales. The struggling retailer"s biggest shareholder MUI Asia and US bank Wells Fargo are in talks about a possible cash injection to keep the fashion and home furnishings business afloat. Sales fell to £109.6m in the second half of 2019, down 11pc on a year earlier. Laura Ashley blamed the drop in part on weaker consumer spending and said all options were now on the table in a battle for survival. The company said: "If the group remains unable to access the requisite level of funding, then the company will need to consider all appropriate options." Shares plunged 41pc, valuing Laura Ashley at £13.8m. The stock has fallen more than 90pc since its heyday as a trend-setter in the mid-1990s. The company said it has a turnaround plan in place and management was encouraged by early signs, although sales have been flat in the first seven weeks of this year. The retailer secured £20m in emergency cash from Wells Fargo last year but restrictions on how much it could draw down from the loan have come into force as stock and customer deposit levels have dropped. Clive Black, a retail analyst at Shore Capital, said Laura Ashley is a "problem child" with longstanding issues and anyone considering a takeover would need deep pockets. He added that Monday"s update was worrying, and said only time would tell if backer MUI will be prepared to put in more cash. MUI owns a 35.2pc stake in the Laura Ashley, with another 25.8pc owned by another business connected to the Malaysian investment firm"s owner Khoo Kay Peng. Laura Ashley reported a £14.3m annual loss in August following depressed demand for its furniture and decorating products. The company said it still expected to announce interim results for the six months to December on Thursday. Chairman Andrew Khoo said: "We acknowledge that recent trading conditions, in line with the overall UK retail market, have indeed been challenging. There is however a robust plan in place to turn the business around."