A MAJORITY sale has been reached on iconic automotive and motorsport brand Castrol.
The oil company is synonymous with motorsport both globally and in Australia, having been attached to drivers including but not limited to Larry Perkins, Tony Longhurst, Russell Ingall, Rick Kelly and now Thomas Randle – plus the Sandown 500 for a period.
Parent company BP has announced it has struck a sale for a 65 percent shareholding in Castrol for $10.1 billion to Stonepeak. The transaction is expected to be completed by the end of 2026.
BP will retain a 35 percent stake for at least two years.
“We concluded a thorough strategic review of Castrol, that generated extensive interest and resulted in the sale of a majority interest to Stonepeak,” said BP interim CEO Carol Howle.
“And with this, we have now completed or announced over half of our targeted $20bn divestment programme, with proceeds to significantly strengthen bp’s balance sheet.
“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.”
Stonepeak senior managing director and co-head of energy Anthony Borreca said: “Lubricants are a mission-critical product, which are essential to the safe and efficient functioning of virtually every vehicle, machine, and industrial process in the world.
“Castrol’s 126-year heritage has created a leading market position, an iconic brand, and a portfolio of differentiated products that deliver meaningful value to its customers.
“We are excited to work alongside Castrol’s talented employees, coupled with bp’s continued guidance as a minority interest holder, as we support the business’s continued growth.”
Stonepeak is an “alternative investment firm specialising in infrastructure and real assets” headquartered in New York.