Stonepeak, a U.S.-based infrastructure investment firm, has emerged as a leading contender to acquire $BP PLC (BP.US)$ BP PLC's Castrol lubricants business, with both parties engaged in advanced negotiations over an offer that values the unit at more than USD 8 billion.
It is reported that BP PLC listed Castrol for sale in February this year. Analysts had previously estimated its selling price could exceed $10 billion, which would help BP PLC achieve half of its goal to raise $20 billion by 2027 through asset sales. However, initial bidders were deterred by that valuation. A deal valued at over $8 billion aligns with BP PLC’s current expectations.
Stonepeak may seek a structure similar to its recent acquisition of a majority stake in Phillips 66's subsidiary, in which Phillips 66 retained a 35% minority stake.
BP PLC is also currently seeking buyers for a 50% stake in its Lightsource solar business. The company stated it expects to raise $4 billion this year through asset disposals.
Editor/Doris
