Competing Giants Eye Castrol: BP's Prize Asset
A London Dispatch
Business tycoon Zuber Issa expresses keen interest in oil giant Castrol.
In the bustling world of petroleum, British tycoon Zuber Issa of the EG Group has staked his claim on BP's beloved lubricant brand, Castrol. The Sundays Times whispers of his keen interest, placing him alongside other titans of industry vying for a slice of the Castrol pie.
This eye-catching move by Issa, reminiscent of his 2020 coup acquiring Asda for a colossal 6.8 billion pounds, has stirred quite a storm. He and his brother challenged the mighty Apollo Global Management and Lone Star Funds, eventually securing the deal. Interestingly, these two financial behemoths are once again rumored to be circling Castrol. The Issas, bolstered by their reliable partner TDR Capital back then, may find themselves facing off against them once more.
But it's not just old rivals who've caught wind of this tantalizing opportunity. The stage is set for an epic showdown, with cowboy hats off to Reliance Industries, Saudi Aramco, and an assortment of shrewd private equity firms. Reliance, the Indian conglomerate with ambitious plans to dominate the energy and lubricant sector, has already shown keen interest. Even the world's largest oil company, Saudi Aramco, is thought to be eying bids.
The private equity crowd isn't one to be left out. Apollo Global Management, Lone Star Funds, Brookfield Asset Management, and Stonepeak Partners have all been named as potential suitors. The Chinese dragon, Citic, the state-owned investment company, is also on the prowl, rumored to be considering a bid.
As the sale process enters its early stages, initial bids are expected to roll in within weeks. Some suitors may join forces in strategic alliances, enhancing their bidding power. The Castrol business is a lucrative prize, and the competition promises to be fierce. Who will come out on top? Only time will tell.
Zuber Issa's interest in Castrol, BP's lubricant brand, places him amidst other industry titans competing for a share of the lucrative finance, with potential bidders including Reliance Industries, Saudi Aramco, and various private equity firms such as Apollo Global Management, Lone Star Funds, Brookfield Asset Management, Stonepeak Partners, and even the Chinese state-owned investment company, Citic.
The energy sector also shows interest in Castrol, as Saudi Aramco is rumored to be contemplating entering the bidding war, showcasing the diverse and global competition this sale process has stirred up.
