Carlyle Group Concludes Deal To Buy Cepsa Stake From UAE's Mubadala

Carlyle Group has concluded a deal to buy a multi-billion dollar stake in Spanish oil refiner Cepsa from Mubadala Investment Co.

Funds affiliated with Carlyle have acquired a 37 percent shareholding while Mubadala will remain the majority shareholder, state news agency WAM reported.

Mubadala last year shelved plans for an initial public offering of a 25 percent stake in Spanish refiner as investors balked at the valuation amid a stock market rout.

The composition of Cepsa’s board of directors reflects the new shareholding, with Mubadala entitled to appoint five members, including its chairman, and Carlyle to appoint three members.

Carlyle to buy as much as 40% of Cepsa from Abu Dhabi's Mubadala

Deal values Cepsa at $12 billion and the transaction is expected to complete by the end of 2019

Carlyle and Mubadala have also named former Total senior executive Philippe Boisseau as CEO to succeed Pedro Miro, who will be retiring.

Musabbeh Al Kaabi, CEO, Petroleum & Petrochemicals, Mubadala, and chairman of Cepsa, said: "We are pleased to have completed the transaction and look forward to working closely with Carlyle and Cepsa’s management on growing the business and creating even greater value from its portfolio and operations."

Marcel van Poecke, head of Carlyle International Energy Partners and vice-chairman of Cepsa, added: "Cepsa is an attractive, well-positioned international integrated energy player... We are pleased Philippe Boisseau has agreed to become CEO as he has an impressive range of skills and leadership in the international energy sector. I know he will work closely with Pedro and the Cepsa leadership team in the coming weeks to ensure a smooth and successful leadership transition. Carlyle remains excited about its role as an investor, along with Mubadala, in Cepsa."