Business · Companies · 9 hrs ago
BP completes sale of majority stake in Castrol for £4.4 billion
BP has completed the sale of 65% of Castrol to US investment firm Stonepeak.
The deal gives BP US$6 billion (£4.4 billion), while BP keeps a 35% stake in Castrol through a new joint venture.
Castrol is a UK-headquartered lubricants business with more than 6,000 staff, serving motorists, commercial vehicles and industries such as manufacturing.
BP says it will use the proceeds to pay down debt, which stood at US$13.9 billion (£10.2 billion) at the end of September.
The sale is part of BP’s plan to simplify its business, cut costs and reduce debt.
Chief executive Meg O’Neill is due to outline BP’s strategy in December.
BP has completed the sale of a 65% stake in its Castrol lubricants business to US investment firm Stonepeak for US$6 billion (£4.4 billion).
BP plans to use the net proceeds to reduce debt and bolster its balance sheet.
BP will retain a 35% stake in Castrol through a new joint venture.
BP’s debt stood at US$13.9 billion (£10.2 billion) at the end of September.
Stonepeak has named former Shell chief executive Ben van Beurden as chairman of Castrol’s board.
- Who
- BP and US investment firm Stonepeak completed the deal.
- What
- Stonepeak bought a 65% stake in Castrol for US$6 billion (£4.4 billion). BP retained 35% through a new joint venture.
- When
- The sale was completed on 2 November 2026. The parties agreed to it in December 2025.
- Where
- Castrol is headquartered in the UK; Stonepeak is based in New York.
- Why
- BP said it would use the net proceeds to bolster its balance sheet and reduce debt.
This story does not have two clearly opposing sides.
BP agreed to sell a 65% stake in Castrol to Stonepeak.
BP's debt stood at US$13.9 billion (£10.2 billion), according to its third-quarter update.
BP said the sale had been completed and that it would use the net proceeds to reduce debt.
- Sale proceeds
- US$6 billion (£4.4 billion)
- Stake sold to Stonepeak
- 65%
- BP's retained stake
- 35%
- BP debt at end of September
- US$13.9 billion (£10.2 billion)
- Castrol workforce
- More than 6,000 staff worldwide
3 sources
What people are saying
This deal brings meaningful cash proceeds to BP today while retaining a valuable stake in Castrol's future growth.
Castrol begins the next part of its journey from a position of real strength, with trusted brands, strong customer relationships, talented colleagues and a clear strategy for growth.