M&AIndustrialsCLOSED
Stonepeak Completes Acquisition of 65% Stake in Castrol from BP
Acquirer
Stonepeak
Target
Castrol
Stonepeak has completed its acquisition of a 65% stake in Castrol from BP and appointed former Shell chief executive Ben van Beurden as chairman of the lubricants business. BP will retain a 35% interest in the company.
✦ Meridian Analysis
Stonepeak has completed its acquisition of a 65 % stake in Castrol from BP, with BP retaining a 35 % interest through a new joint venture with Stonepeak. CPP Investments is participating as an indirect minority investor and will hold one board seat. Castrol’s new board will comprise former Shell chief executive Ben van Beurden as chairman, four independent directors, three Stonepeak representatives and two BP representatives.
Deal professionals will be looking for details that have not been disclosed, including the enterprise value assigned to the 65 % stake, the leverage or cash component of Stonepeak’s financing, and the identity of any financial advisers. Confirmation of antitrust clearances, the timeline for integrating Castrol’s operations under the joint‑venture framework, and any earn‑out or performance‑based clauses in the shareholder agreement would also be material to assess the full economics of the transaction.
The Meridian Weekly
The week's largest deals and the Iberian ones, every Monday. Free.