The value of small cap stock for Advantage Oil & Gas Ltd. (NYSE:AAV) jumped on Thursday after the resource company announced a plan to sell some assets to keep its infrastructure simple, and also to ready itself for a possible sale, Bloomberg reports.
According to the media outlet, Advantage has looked to RBC Capital Markets to sell all of its assets not related to Canada's Montney shale formation – a project that has made the company the fifth-large producer in the region. The firm stated it plans to start the process of a possible sale of the natural-gas and natural gas liquids as soon as the end of 2012.
"I’m not surprised there is some surprise in the market," Chief Executive Officer Andy Mah told the news provider, declining to comment on a potential buyer. However, he did assert that a "large firm" may acquire the company, which would give Advantage more funds for the Montney project.
According to the Calgary Herald, the assets have 34 million barrels of oil equivalent, plus additional probable reserves.
Advantage's stock rose to $3.70 – a 12.8 percent increase – by 3:36 p.m. on Thursday, August 23.