Shares in Parkmead Group (AIM:PMG) gushed 47% higher following the announcement of a £14 million deal to sell its subsidiary, Parkmead (E&P), to Serica Energy.
The disposal includes Parkmead’s UK offshore oil and Netherlands gas licenses, but the group retains all revenue-generating assets, including Dutch gas fields and a UK wind farm.
The agreement includes £5 million upfront, £9 million in fixed deferred payments by 2027, and up to £120 million in contingent payments tied to North Sea project approvals.
In early trade, the stock was changing hands for 21.25p, up 6.75p and valuing the business at just £22 million.