Freeport-McMoran Inc., the world's second largest producer of copper, gold, and molybdenum products after Codelco was said to have hired JP Morgan Chase & Co to lay down strategies amidst pressure from investors build.

The move was done after one of the company's investors, Carl Icahn called for a corporate change in the company after realizing that company shares are undervalued.

Among options likely to be considered by the company are reducing the cost and capital expenditure and assets sale. However, options to be done are still at the early stage and could not be confirmed on how the company is planning to solve it.

According to Business Finance News, the company is in trouble after the price of copper has dropped significantly this year in accordance with the weak Chinese economy. Currently, Freeport-McMoran Inc. is planning to lay off 10 percent of its staff which is about 650 workers soon. The company also had reduced its capital expenditure budget by 29 percent for 2016.

Phoenix Biz Journal reported early this month that the company are suspending their operation in Miami and workers layoff will be done soon.

Currently, there are 950 Freeport's workers in Miami where they are operating an open pit copper mine. However, a source said that the cut will not be affecting the company's smelter and rod plant.

Carl Icahn is currently holding 8.5 percent share in the company. The activist investor voiced out his concern regarding corporate governance and the capital problem faced by the company last week as reported by The Fiscal Times. Other investors are hoping that Carl Icahn will be able to influence the company and help the company to turn around their revenue with the current economic instability.

The Standard & Poor's rating agency also has changed their outlook on Freeport from 'Stable' to 'Negative'. The rating agency also warned investor of a downgrade in credit rating soon if the company still unable to produce a great result.

This is due high debt to earnings ratio, interest, taxes and depreciation expected in the next quarter result based on current performance. It is projected to be higher than 4.5x level at the end of this year.

As of August, Freeport's share has declined almost 60 percent for this year alone. On September 4, the stock was traded at 4.2 percent lower and closed at $9.70 on NYSE. Decrease in demand of the resources since China economy is slowing down also become important factor for hiring JP Morgan as the company needs to be ready to face any future turmoil.