BP is nearing a sale of a majority stake in its Castrol lubricants unit to investment firm Stonepeak in a deal that values the entire division at $10 billion, including debt, the Wall Street Journal reported on Tuesday.
As part of the deal, BP is set to receive roughly $6 billion in proceeds from the sale of a 65% stake of Castrol to Stonepeak and the deal is expected to be announced as soon as Wednesday, the report said, citing people familiar with the matter.
BP and Stonepeak did not immediately respond to Reuters’ requests for comment.
Reuters reported in November that BP was in talks with Stonepeak about the sale of Castrol, which would be a significant step toward meeting the energy company’s $20 billion divestment goal.
(Reporting by Rishabh Jaiswal in Bengaluru; Editing by Rashmi Aich)