FRANKFURT (GERMANY) – Total, the French oil group, has announced the launch of the sale of its resins business. This comes as it streamlines its activities to raise capital to invest in renewable energy.
The firm is working with Credit Suisse of Switzerland regarding the sale of operations featuring the Cray Valley brand, it said, adding that the unit is estimated to be worth 500-600 million euros ($588-705 million), including debt.
In the coming weeks, Total is likely to send out information packages to prospective buyers, mainly private equity firms.
Last week, the firm said it was mulling hiking annual investments in renewable energy and power by 50% and slash its dependence on oil. This comes as it imitates its European rivals and aims to become a major producer of low-carbon power.
Given the glut in the oil industry in the wake of the pandemic crisis, Total has been firing on all cylinders to shift to alternative sources of revenue with a particular focus on providing electricity and expanding the ambit of its renewable energy business.