BP stock soars 7% as Shell eyes major takeover — could this be the biggest energy deal of the year?
Global Desk June 26, 2025 11:01 AM
Synopsis

BP shares jumped 7% after news broke that BP is in early-stage talks with Shell for a possible acquisition. According to The Wall Street Journal, the discussions are active but moving slowly, with no final deal yet. Sources told CNBC it’s unlikely Shell would buy the entire company—different segments of BP could be sold to multiple buyers instead. BP’s stock surge now values the company at nearly $85 billion, sparking major buzz in the global oil market. Investors are watching closely as Shell-BP acquisition news could mark a big shake-up in the energy sector.

BP shares soared 7% after reports of Shell entering early-stage acquisition talks. With BP’s value near $85 billion, investors eye a potential energy shake-up. Could this deal reshape the oil industry? Full details on the BP-Shell merger buzz inside.
BP shares jump 7% after report of potential Shell acquisition talks- BP shares rose sharply on Wednesday after a report suggested the British oil giant is in early-stage discussions to be acquired by Shell. According to The Wall Street Journal, sources familiar with the matter confirmed that Shell and BP are engaged in active talks, although any potential deal remains far from finalized.

BP stock was last seen up around 7%, giving the company a market valuation of nearly $85 billion. These early acquisition talks have sparked fresh interest in BP, which has been under increasing pressure due to underperformance compared to both Shell and U.S.-based oil majors like ExxonMobil and Chevron.

Are BP and Shell really heading toward a merger?

At this stage, the discussions are reportedly very preliminary. One person told The Wall Street Journal that while the conversations are ongoing, progress is slow and there's no guarantee of a final agreement. The fact that this news has already caused a notable surge in BP's share price reflects just how much weight investors are placing on a possible tie-up between two of the UK's biggest energy names.

Shell has not publicly commented on the report.

Could Shell buy all of BP or just parts of the business?

According to sources cited by CNBC's Brian Sullivan, it's unlikely that Shell would acquire all of BP. Instead, the more realistic outcome could involve a breakup of BP, where various parts of the business are sold off to multiple buyers.

This kind of deal structure could allow Shell and others to acquire strategic assets while avoiding the regulatory hurdles and financial risks associated with purchasing an entire oil major outright.

Why is BP being considered for acquisition now?

BP has been struggling to keep pace with rivals. Over the past year, it has consistently underperformed Shell and top U.S. oil companies. Its slower transition to renewables, leadership changes, and weaker financial results have led analysts to view BP as vulnerable—possibly making it a more attractive takeover target.

Investors have been calling for bold moves as BP looks to revamp its strategy and compete in a rapidly changing global energy market. If Shell—or a group of buyers—can unlock value from BP’s various business units, it could signal a major shake-up in the global oil industry.

BP shares rise over 4% in U.S. market amid Shell takeover talk buzz

BP shares traded higher today in the U.S. market after reports surfaced that the oil giant is in early discussions with Shell about a possible acquisition. As of the latest data, BP stock on the NYSE (BP) was priced at $31.20, marking a gain of around 4.6%, or $1.37, from its previous close.

During the day, the stock touched a low of $29.58 and went as high as $32.85, showing strong investor interest following the news. The day opened at $29.70, and trading volume reached over 45 million shares—a sign that the market is reacting swiftly to the development.

How is BP stock performing in the UK market?

Over in London, BP’s shares on the LSE (London Stock Exchange) ended the session at 364.40 GBX, which is slightly down by 0.97%. While U.S. investors seemed more optimistic, the U.K. market showed a bit more caution today, likely reflecting broader market pressures.

BP's current market cap in the U.K. stands at about £56.8 billion, with its 52-week trading range between 329 and 493 GBX.

How much is BP worth now after the stock jump?

Following the report, BP’s shares climbed nearly 7%, bringing its total market value to just under $85 billion. While that’s still less than Shell’s own market capitalization—which stands around $220 billion—it shows that even rumors of consolidation in the sector can quickly shift investor sentiment.

This rise also suggests that investors might see real potential in a deal or at least in BP becoming more active in restructuring.

What does this mean for the global oil market and investors?

If Shell proceeds with buying parts of BP or even attempts a full-scale takeover, it would be one of the biggest deals in the energy sector in years. It also highlights a new phase of consolidation in oil and gas, as companies respond to rising costs, climate pressures, and evolving investor expectations.

For shareholders, this could mean increased value in the short term and a reshaped competitive landscape in the long term.

FAQs:

Q1. Is Shell really planning to buy BP?
Shell is in early talks with BP, but a full acquisition is not confirmed yet.

Q2. Why did BP shares go up today?
BP stock jumped 7% after reports of possible acquisition talks with Shell.
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