The investment capital company which employs the president of BP as an advisor is part of the bidders exploring a takeover of Castrol, the lubricating arm of the oil giant which was put up for approximately 8 billion dollars (5.8 billion pounds sterling).
Sky News has learned that Clayton Dubilier & Rice (CD & R) has joined the ranks of strategic and financial bidders who are part of an auction launched by BP earlier this year.
The involvement of CD & R in the process is notable because Helge Lund, who withdraws as president of BP in the next 12 months, is an operational advisor to the buyout company.
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Mr. Lund has no involvement in CD&R work on an offer for Castrol, according to initiates.
The buyout company is one of the largest in the world and has assets in the United Kingdom, notably Morrisons, the supermarket chain and the fuel group.
Bloomberg News reported that Apollo Global Management, Lone Star Funds and India Reliance Industries are tenderers for the lubricant sector.
The auction of Castrol is increasing at a turbulent time for BP, which is besieged by the management of Elliott, the activist investor, in the midst of the company’s requests to reduce costs and increase profitability.
Last week, the oil rival listed in London Shell denied a Wall Street Journal report that he was at the start of talks to buy BP, saying that he had not actively considered to offer.
Although wrong, history has stressed the fact that BP is considered a target of plausible takeover due to its work.
Sky News recently revealed that the former managing director of Centrica, Sam Laidlaw and Ken Mackenzie, the former president of the BHP mining giant, was among those approaching to replace Mr. Lund at BP.
Both have now withdrawn from the process.
A spokesperson for CD & R refused to comment, while BP was contacted to comment.