According to two sources with knowledge of the issue, Spain’s oil firm Cepsa is considering selling its chemicals business to support its approach to clean energy.
Cepsa and Cit have worked together to identify potential buyers but the discussions were at a preliminary stage and no deal was certain. Upon a successful sale, Cepsa's push into renewables would gain support while part of the proceeds would be returned to shareholders, one of the sources said.
So far, according to the sources, interests are estimated to come from private equity funds and European chemicals firms.
Cepsa’s chemicals business is valued at up to EUR30 billion (USD3.5 billion). In the first nine months of 2021, the business’ core earning was EUR355 million (USD410.88 million), a 39% jump annually.
A third source, meanwhile, said that the company might pursue other strategic options as an alternative to an outright sale.
The company is developing green products that would make it a benchmark in sustainable development. Under its new CEO Maarten Wetselaar, Cepsa plans to accelerate the implementation of its energy transition and offer more differentiated and sustainable energy solutions.
