BP says it can sell its 35% Castrol stake after two-year lock-up
BP•BP said it has the option to sell its 35% stake in Castrol after a two-year lock-up period. It will use $6 billion in after-tax proceeds from the Castrol transaction to reduce financial obligations and does not expect earnings or dividends from its retained stake in the short to medium term.
1. Castrol stake and proceeds
BP said it has optionality to sell its 35% stake in Castrol following a two-year lock-up period. The company said it will use $6 billion in after-tax proceeds from the Castrol transaction to further reduce financial obligations.
2. Accounting treatment
BP will treat its retained stake as an equity-accounted investment and does not expect to receive earnings or dividends from it in the short to medium term. As of Sept. 30, 2026, Castrol debt-like obligations on BP's balance sheet were around $0.3 billion, while non-controlling interests measured at historic cost were around $0.45 billion.
