Carlyle’s Acquisition of a Significant Minority Stake in Compañía Española de Petróleos

Ropes & Gray anti-corruption and international risk practice advised Carlyle on the deal

Funds affiliated with Carlyle will acquire a significant minority interest in Compañía Española de Petróleos, S.A.U (Cepsa) from Mubadala. Headquartered in Madrid, Spain, Cepsa is Europe’s largest privately-owned integrated oil & gas company.

The transaction is subject to customary regulatory approvals and is expected to close by end 2019. The agreement marks the successful conclusion of a dual-track process through a public offering and private placement, conducted by Mubadala to bring in new partners as part of its portfolio management strategy.

Cepsa’s retail business includes an extensive network of service stations across the Iberian Peninsula and an integrated energy offering to Spanish consumers, covering liquid fuels, gas and electricity. The company owns and operates two refineries in Spain and has committed significant capital to ensure they remain among the most efficient in Europe and well positioned to respond to the new IMO quality and emissions requirements when they take effect in January 2020.

Cepsa is also the global leader in the production of linear alkyl benzene (LAB), a key component in the manufacture of biodegradable detergents and the second largest producer of phenol and acetone; new investments in LAB manufacturing facilities aimed at strengthening its presence in the emerging markets of Asia.

A Ropes & Gray team led by London-based anti-corruption and international risk practice co-chair Amanda Raad (Picture), Chicago-based anti-corruption and international risk partner Ryan Rohlfsen and London-based litigation and enforcement counsel Sean Seelinger advised Carlyle on the transaction.

Involved fees earner: Amanda Raad – Ropes & Gray; Ryan Rohlfsen – Ropes & Gray; Sean Seelinger – Ropes & Gray;

Law Firms: Ropes & Gray;

Clients: Carlyle Group;