Zuber Issa, the British entrepreneur known for his prominent role in securing Asda, is eyeing a bold multi-billion-pound bid for Castrol oils.

Issa, alongside his brother, gained headlines after their successful acquisition of Asda for £6.8 billion in 2020, supported by private equity firm TDR Capital. Following the sale of his stake in the supermarket last year, he is reportedly redirecting his focus toward the BP-owned Castrol.

Sources indicate that Issa is contemplating the formation of a consortium to acquire Castrol, which BP has listed for potential buyers at around $10 billion (approximately £7.5 billion).

Having previously outmaneuvered competitors such as Apollo Global Management and Lone Star Funds for Asda, Issa’s latest venture may set him against other large private equity firms, including Indian conglomerate Reliance Industries and Saudi Aramco, the world’s leading oil corporation.

Alternatively, Issa may collaborate with potential bidders for Castrol, possibly taking on the role of an “operating partner” in a consortium aimed at acquiring the company.

The interest in the lubricant sector stems from Issa’s bullish outlook on the ongoing demand for motor oils, particularly as the automotive industry shifts towards zero-emission vehicles. He has also made investments in Duckhams, a smaller lubricants company known for its racing pedigree.

While electric vehicles have fewer moving parts compared to traditional combustion engines and therefore require less lubrication, they still utilize brake fluid and may need transmission fluid, depending on the specific model.

Representatives for Issa refrained from commenting on his interest in Castrol over the weekend.

Earlier this year, BP announced plans to divest non-core divisions, aiming to generate around $20 billion by 2027 to reduce debt levels. The investment bank Goldman Sachs has been tasked with managing this process. A BP spokesperson declined to provide further insights. Notably, Castrol reported an underlying replacement cost profit of $831 million in 2024, BP’s preferred profitability metric.

Market sources suggest initial querying of potential buyers for Castrol has begun, with expected valuations ranging from $6 billion to $10 billion. Some analysts believe Castrol could ultimately be valued as high as $12 billion, although opinions vary significantly concerning the future of internal combustion engines given the emerging bans on new petrol and diesel vehicles.

The formal sales process is anticipated to commence in the coming months, with all options considered, including the possibility of dividing Castrol into regional segments, according to insiders.

Since their inception, Zuber and Mohsin Issa have transitioned from relative obscurity to founding EG Group, now one of the world’s largest fuel forecourt operators, in partnership with TDR Capital, which has other impressive investments, including gyms and restaurant chains.

The Issas opened their first forecourt in Blackburn in 2001. Today, EG operates nearly 6,000 locations across nine countries, with reports of plans for a £13 billion public flotation having surfaced at the end of last year.

The combined wealth of the Issa brothers is estimated at £5 billion, according to The Sunday Times Rich List.

In a surprising turn of events in 2020, the Issas topped competing buyout offers to secure a majority stake in Asda from Walmart, marking Asda’s return to UK majority ownership for the first time in two decades. Former UK Chancellor Rishi Sunak expressed his approval of this development at the time.

After selling his stake in Asda last year, Zuber stepped down as co-CEO of EG Group, following a deal to acquire the UK forecourt operations and food service sites for £228 million.