BP has agreed to sell a 25% stake in its subsidiary, BP Pipelines TANAP, to Apollo Global Management for $1 billion. This subsidiary holds a 12% stake in the Trans-Anatolian Natural Gas Pipeline (TANAP), which transports natural gas from Azerbaijan to Turkey and eventually to Italy and Greece .
The sale is part of BP's $20 billion disposal program, led by CEO Murray Auchincloss, aimed at reducing net debt from $23 billion to $14-$18 billion by 2027. BP plans to focus on oil and gas, scaling back its renewables efforts ¹.
This deal follows a previous agreement between BP and Apollo in September 2024, where Apollo acquired a stake in the BP unit holding a 20% stake in the Trans Adriatic gas pipeline.
BP will retain a controlling stake in BP Pipelines TANAP and continue to explore opportunities for cooperation with Apollo in infrastructure, gas, and low-carbon energy assets.
How well do narratives help inform your perspective?
Disclaimer
The user WaneInvestmentHouse holds no position in LSE:BP.. Simply Wall St has no position in any of the companies mentioned. Simply Wall St may provide the securities issuer or related entities with website advertising services for a fee, on an arm's length basis. These relationships have no impact on the way we conduct our business, the content we host, or how our content is served to users. The author of this narrative is not affiliated with, nor authorised by Simply Wall St as a sub-authorised representative. This narrative is general in nature and explores scenarios and estimates created by the author. The narrative does not reflect the opinions of Simply Wall St, and the views expressed are the opinion of the author alone, acting on their own behalf. These scenarios are not indicative of the company's future performance and are exploratory in the ideas they cover. The fair value estimates are estimations only, and does not constitute a recommendation to buy or sell any stock, and they do not take account of your objectives, or your financial situation. Note that the author's analysis may not factor in the latest price-sensitive company announcements or qualitative material.
