The owners of the Oxfordshire-headquartered business are aiming for a valuation of about $8b from a sale that may attract interest from private equity suitors
TBS Report
24 October, 2026, 11:15 am
Last modified: 24 October, 2026, 11:19 am
A UK-based chemicals group backed by Shell is exploring an $8 billion sale as the energy major tries to refocus on its core oil and gas operations by offloading more peripheral parts of its business, reports Financial Times.
According to the report, Infineum, which is owned by Shell and ExxonMobil as a 50:50 joint venture, has tapped advisers at Bank of America to run a sale of the business, with the process launching in recent days, according to people familiar with the matter.
The owners of the Oxfordshire-headquartered business are aiming for a valuation of about $8b from a sale that may attract interest from private equity suitors, the people said, cautioning that the process remains in the early stages and may not result in a transaction.
Infineum was founded in 1999 and generated about $700m-$800m of annual earnings before interest, taxes, depreciation and amortisation, one of the people added. The speciality chemicals company is a leader in manufacturing "additives for the fuel and lubricant industry", with its products sold in 90 countries.
The company says its products are used in a third of all vehicles worldwide, and 70 per cent of electric vehicles.
A deal for Infineum would come on the heels of BP's sale of its Castrol lubricants division to US infrastructure group Stonepeak last year in a $10b deal.
Lubricants companies are coming under increasing pressure from the rise of EVs, which has reduced the need for engine oil, though the growth in hybrid vehicles could limit the demand erosion.
At the same time, global production of base oils, the main ingredient in finished lubricants, has increased, raising concerns of oversupply in the market.
The potential sale of Infineum is Shell's latest push to sell downstream assets and comes alongside other mooted transactions such as the disposal of its other US and European chemicals businesses, the FT previously reported.
Shell said in March last year that it did not feel it was the "natural owner" of its chemicals portfolio and that it wanted to reduce its exposure by 2030.
The company has been refocusing on the oil and gas business, agreeing this year to buy Canadian shale producer ARC Resources for $16.4b in its largest acquisition for a decade.
In 2024, Infineum restructured into two business units, with one concentrating on electrification and battery-related projects. It has also focused on production of its e-fluid technology, used in electric cars.
Shell and Bank of America declined to comment. Exxon and Infineum did not immediately respond to requests for comment.