bp has completed the sale of a 65 per cent stake in Castrol to Stonepeak.

bp is using the $6 billion in after-tax proceeds to further reduce financial obligations, in line with its first priority of strengthening the balance sheet.

Castrol will now operate as a standalone company with its own management, governance and strategic priorities, and bp will retain a 35 per cent stake.

Meg O’Neill, bp CEO, said: “We are building a simpler, stronger, more valuable bp. This deal brings meaningful cash proceeds to bp today while retaining a valuable stake in Castrol’s future growth. Castrol’s deep expertise and innovation span everything from advanced mobility solutions to data centre cooling. It will now have greater independence to accelerate its next phase of delivery.”

Michelle Jou, Castrol CEO added: “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. I am proud of what we have achieved as part of bp. I am also excited to work with Stonepeak and our newly formed board to build on that momentum, unlock Castrol’s full potential and deliver greater value for our stakeholders.” -OGN/TradeArabia News Service