By Anthony O. Goriainoff

 

BP PLC and Aker ASA said Wednesday that they were mulling the sale of some of their shares in Norwegian oil-and-gas producer Aker BP ASA.

BP and Aker currently control around 30% and 40% of the shares outstanding in Aker BP, and they are thinking about selling shares representing around 5% of Aker BP shares via an accelerated bookbuild process.

BP is looking to sell shares representing around 2.1% of Aker BP's outstanding shares, and Aker selling shares representing around 2.9%.

"If the sale is completed, the free float in Aker BP will increase from 30% to 35%," BP said.

The FTSE 100 energy group said the proceeds from the transaction will form part of BP's target of delivering $25 billion of divestment and other proceeds by 2025. Earlier in November BP said that it expects $6 billion to $7 billion of divestment and other proceeds in 2021.

"This transaction will enable BP to realize some of the considerable value Aker BP has already generated while remaining committed to its ongoing success and value creation for shareholders. Consistent with our long-standing track-record of active portfolio management, these divestment proceeds will be expected to further strengthen BP's balance sheet and support our ongoing buyback commitment," BP Chief Executive Bernard Looney said.

 

Write to Anthony O. Goriainoff at anthony.orunagoriainoff@dowjones.com

 

(END) Dow Jones Newswires

November 10, 2021 12:46 ET (17:46 GMT)

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