Bidding begins for UK biofuels company

The alternative energy sector is proving increasingly attractive as oil prices soar.

Buyout firms Apollo Management, BC Partners, Carlyle Group, Cinven, Kohlberg Kravis Roberts and Vestar Capital Partners are all planning to submit offers for Infineum, a petroleum additives business.

The company's co-owners, Shell and ExxonMobil are thought to be seeking offers between €2 billion and €2.5 billion, according to UK newspaper the Sunday Telegraph.

Infineum manufactures and markets petroleum additives for the fuels and lubricants industry. The Oxfordshire-based company employs 1,600 people, and had net annual revenue of $1.53 billion in 2006, up 20 percent, according to its latest available report.