BP is closing BP Ventures and selling most of its portfolio to Verdane.
Why it matters: The move marks a sharp pullback from corporate climate-tech investing at one of oil and gas's best-known venture arms. It also underscores how energy majors are prioritizing financial discipline, debt reduction and core businesses over frontier clean-tech bets.
- BP said July 15 it is proposing to close BP Ventures and sell minority stakes in more than 10 portfolio companies to Verdane.
- BP Ventures launched in 2007 and had 27 companies in its portfolio before the announcement, Reuters reported.
- BP said the divestment is expected to complete by the second quarter of 2027.
- Reuters said BP is in the middle of a $20 billion divestment plan aimed at cutting debt and boosting returns.
BP is shutting down BP Ventures after nearly two decades, in one of the clearest signs yet that corporate appetite for climate-tech investing has cooled.
On July 15, BP said it was proposing to close the unit and sell minority stakes in more than 10 portfolio companies to Verdane, a Nordic growth buyout firm. The company said the divestment should finish by the second quarter of 2027. Reuters reported the announcement.
Verdane said it acquired a portfolio of minority ownership stakes in technology businesses from bp, covering more than 10 businesses tied to digitalization of the energy industry and transport. Verdane Principal Melanie Campbell said the firm looks forward to working with the companies as they continue to digitalise and decarbonise the global economy. Verdane said the deal gives it exposure to businesses focused on energy and transport tech.
BP said it will retain interests in a small number of investments where the technology could create value for its businesses. A BP spokesperson told Reuters: “We are proposing to evolve how we manage our interest in the small number of investments we will retain, and to close the bp Ventures team, subject to consultation and in line with local legal and regulatory requirements.”
TechCrunch reported that BP Ventures launched in 2007 and that the unit's returns had been lackluster. It also cited Axios reporting that the portfolio was valued at about $1.2 billion, roughly equal to BP's cumulative investment since the unit was established. TechCrunch's report said the move follows BP's broader retreat from low-carbon and clean-energy bets.
Reuters reported BP had 27 companies in the portfolio before the announcement. It also said the company has been pursuing a $20 billion divestment plan to cut debt and boost returns, framing the venture closure as part of a broader push for financial discipline.
By the numbers
- $20 billion - BP's broader divestment plan aimed at cutting debt and boosting returns
- 27 - companies in BP Ventures' portfolio before the announcement
- Q2 2027 - expected completion date for the portfolio sale
Yes, but: BP has not disclosed which portfolio companies it will keep, and the transaction value was not disclosed.
What's next: BP said the divestment is expected to complete by the second quarter of 2027, subject to consultation and local legal and regulatory requirements.