BP sells 65% of Castrol to Stonepeak for $6bn, retains 35% stake
BP has sold 65% of its motor oil arm, Castrol, to private equity firm Stonepeak for $6 billion in cash, while retaining a 35% stake in the business. The transaction values Castrol at $10.1 billion. Castrol produces lubricants for cars, motorcycles, and industrial vehicles. The cash proceeds from the sale will be used by BP to pay down debt and to sharpen its focus on its core oil and gas business.
This sale marks a milestone in BP's ongoing plan to overhaul the company, reduce costs and complexity. It follows the February announcement of a plan to divest about $20 billion of assets. Recently, BP has shifted away from green-energy investments toward oil and gas amid investor pressure. Previous divestments by BP include its US onshore wind business and its Dutch mobility and convenience arm.
The deal comes shortly after BP announced Meg O'Neill as its new CEO, who will take over the role in April 2026, with Albert Manifold serving as chairman.
