This diagram exhibits a Castrol motor oil bottle. File | Photograph credit score: Reuters
The Canada Pension Plan Funding Board and U.S. non-public fairness agency Stonepeak plan to launch a young supply to amass as much as 26% of Castrol’s Indian unit at a premium to the present buying and selling value, in keeping with a regulatory submitting.
Following the settlement to amass the corporate from father or mother firm BP, a young supply for shares value Rs 25.71 billion has been made.
Stonepeak and CPPIB will supply Castrol India shareholders Rs 194.04 per share, a 2.5% premium to Wednesday’s (December 25, 2025) closing value. Castrol India shares had been buying and selling at Rs 191.40 on BSE on Friday (December 26).
“The Acquirer and Live performance Appearing Individual (PAC) has made a young supply to public shareholders to amass as much as 25,717,1820 (25.71 billion) shares constituting 26% of the share capital at a value of ₹194.04 per share, for a complete consideration of as much as ₹499 billion,” it mentioned. Regulatory submitting by Castrol India.
Earlier this week, Britain’s BP signed a deal to promote a 65% stake in its Castrol lubricants enterprise to US funding agency Stonepeak for about $6 billion. The transaction values the long-lasting division at roughly $10.1 billion, together with debt. CPPIB can be investing as much as $1.05 billion in oblique stake acquisitions. Castrol holds 51% of the share capital of Castrol India.
Beneath SEBI’s takeover rules, buying 25% or extra of a listed firm triggers a compulsory tender supply to amass at the very least a further 26% from public shareholders.
If the tender supply goes by means of, the brand new proprietor will personal 77% of Castrol India’s shares.
The sale by BP is a part of a $20 billion asset sale program focused by 2027 aimed toward strengthening its monetary resilience amid weak efficiency in some divisions and strain from activist buyers.
“This transaction will speed up the implementation of BP’s Reset technique, considerably strengthen its steadiness sheet and advance its downstream-focused technique,” the corporate mentioned on December 24.
BP retained a 35% stake in Castrol, giving it publicity to the lubricant maker’s progress plans whereas retaining choices to comprehend additional worth sooner or later.
