London: British Oil giant BP is all set to sell a 65% stake in Castrol- a leading global lubricants and specialty products company- in a deal valued at approximately $10 billion. This transaction is part of BP’s broader strategy to streamline its portfolio, amid the ongoing challenges in the energy market.
“The transaction represents a significant milestone in bp’s commitment to accelerate its strategy, including simplifying the portfolio, strengthening the balance sheet, and focusing the downstream on its leading integrated businesses.” BP said in a statement.
BP aims to divest its non-core assets against the backdrop of sustained investment requirements in its core business, as well as the company’s desire to reduce debt, which stood at $26.1 billion as of September 2025.
“The sale marks an important milestone in the ongoing delivery of our reset strategy. We are reducing complexity, focusing the downstream on our leading integrated businesses, and accelerating delivery of our plan. And we are doing so with increasing intensity – with a continued focus on growing cash flow and returns, and delivering value for our shareholders,” Carol Howle, interim CEO at bp, said in a press release.
BP will continue to hold a minority stake in Castrol, as US investment firm Stonepeak takes control of the company.
Following the announcement, shares of Castrol India surged 8%.
