Braskem Gains Ground as Novonor Moves Forward with Stake Sale Negotiations
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Dec 15 2025
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Should l Buy BAK?
Source: SeekingAlpha
Braskem's Stake Sale: Braskem's shares rose by 5.5% after Novonor announced an agreement to sell a controlling stake in the company to private equity firm IG4 Capital, which will share control with Petrobras.
Novonor's Retained Stake: Novonor will keep a 4% stake in Braskem, which was previously collateral for unpaid loans, and has a 60-day period to finalize the transaction.
Potential Benefits of New Ownership: The change in controlling shareholders could improve Braskem's outlook, as the company faces challenges with low petrochemical margins and liabilities from environmental damage in Maceio.
Market Context: The deal comes amid ongoing financial struggles for Braskem, highlighting the need for a strategic shift to enhance its operational stability and market position.
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Analyst Views on BAK
Wall Street analysts forecast BAK stock price to fall
1 Analyst Rating
0 Buy
1 Hold
0 Sell
Hold
Current: 4.780
Low
3.30
Averages
3.30
High
3.30
Current: 4.780
Low
3.30
Averages
3.30
High
3.30
About BAK
Braskem SA is a Brazil-based integrated petrochemical company for the first and second generation of thermoplastic resins. The Company's activities are divided into three operational segments: Brazil; the United States and Europe; and Mexico. The Brazil segment is focused on the production of polyethylene (PE), polypropylene (PP) and polyvinylchloride (PVC) resins, in addition to basic chemical inputs such as ethylene, propylene, butadiene, benzene, toluene, chlorine, soda, and solvents, among others. The United States and Europe segment is responsible for the production of polypropylene in units in the United States and Germany. The Mexico segment consists of the operation of ethylene cracker and polyethylene units located in Mexico.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
IG4 Capital's Acquisition of Braskem Stake Approved by CADE
- Acquisition Approval: Brazil's antitrust authority CADE approved the agreement for IG4 Capital to acquire a controlling stake in Braskem from Novonor, marking a significant milestone in the long-standing dispute over control of the petrochemical company, with the agreement approved without restrictions.
- Shared Control: Under the deal, IG4 will share control of Braskem with oil giant Petrobras, while Novonor retains a 4% stake; the approval will become final in 15 days unless appealed or changed by board members, indicating a stable transition of control.
- Bankruptcy Risk: Braskem is reportedly burning through cash and may need to seek bankruptcy protection within the next 2-3 months, raising concerns about its financial health and potential impacts on stock performance, which could deter investors.
- Market Reaction: The approval from CADE alleviates market concerns regarding the slow progress of the deal, especially as IG4 had considered pulling out, yet Braskem's ongoing financial struggles remain a critical issue for stakeholders to monitor closely.
See More
BRAZIL'S BRASKEM: NORGES BANK REDUCES ITS HOLDING IN BRASKEM TO 4.96% OF CLASS A PREFERRED SHARES - FILING
- Norwegian Bank's Stake Reduction: Norges Bank has reduced its stake in Braskem to 4.96% of class A preferred shares.
- Impact on Braskem: This reduction in ownership may influence Braskem's market dynamics and investor perceptions.
See More
Braskem Reports 7% Increase in Q4 Polypropylene Sales Volume in the U.S. and Europe Compared to Last Year
- Sales Growth: Brazil's Braskem reported a 7% increase in sales volume of polypropylene in the U.S. and Europe for Q4 compared to the previous year.
- Market Performance: The rise in sales volume indicates a positive trend in Braskem's market performance in the polypropylene sector.
See More
Braskem Reports 59% Average Utilization Rate for Q4 at Its Brazilian Petrochemical Plants - Filing
- Brazil's Petrochemical Utilization Rate: The average utilization rate of Brazil's petrochemical plants is reported at 59%.
- Industry Performance: This figure reflects the operational efficiency and productivity of the petrochemical sector in Brazil.
See More
Braskem Reports 8% Decline in Q4 Resin Sales Volume in Brazil Compared to Last Year
- Sales Volume Decline: Brazil's Braskem reported an 8% decrease in sales volume for Q4 compared to the same period last year.
- Year-on-Year Comparison: The decline in sales volume reflects a significant drop from the previous year's figures.
See More
BRASKEM: BRASKEM IDESA CONTINUES DISCUSSIONS ON CAPITAL STRUCTURE
- Brazil's Braskem: Braskem is currently engaged in discussions regarding its capital structure.
- Focus on Financial Stability: The talks aim to address financial stability and potential restructuring options for the company.
See More
IG4 Capital's Acquisition of Braskem Stake Approved by CADE
- Acquisition Approval: Brazil's antitrust authority CADE approved the agreement for IG4 Capital to acquire a controlling stake in Braskem from Novonor, marking a significant milestone in the long-standing dispute over control of the petrochemical company, with the agreement approved without restrictions.
- Shared Control: Under the deal, IG4 will share control of Braskem with oil giant Petrobras, while Novonor retains a 4% stake; the approval will become final in 15 days unless appealed or changed by board members, indicating a stable transition of control.
- Bankruptcy Risk: Braskem is reportedly burning through cash and may need to seek bankruptcy protection within the next 2-3 months, raising concerns about its financial health and potential impacts on stock performance, which could deter investors.
- Market Reaction: The approval from CADE alleviates market concerns regarding the slow progress of the deal, especially as IG4 had considered pulling out, yet Braskem's ongoing financial struggles remain a critical issue for stakeholders to monitor closely.
See More
BRAZIL'S BRASKEM: NORGES BANK REDUCES ITS HOLDING IN BRASKEM TO 4.96% OF CLASS A PREFERRED SHARES - FILING
- Norwegian Bank's Stake Reduction: Norges Bank has reduced its stake in Braskem to 4.96% of class A preferred shares.
- Impact on Braskem: This reduction in ownership may influence Braskem's market dynamics and investor perceptions.
See More
Braskem Reports 7% Increase in Q4 Polypropylene Sales Volume in the U.S. and Europe Compared to Last Year
- Sales Growth: Brazil's Braskem reported a 7% increase in sales volume of polypropylene in the U.S. and Europe for Q4 compared to the previous year.
- Market Performance: The rise in sales volume indicates a positive trend in Braskem's market performance in the polypropylene sector.
See More
Braskem Reports 59% Average Utilization Rate for Q4 at Its Brazilian Petrochemical Plants - Filing
- Brazil's Petrochemical Utilization Rate: The average utilization rate of Brazil's petrochemical plants is reported at 59%.
- Industry Performance: This figure reflects the operational efficiency and productivity of the petrochemical sector in Brazil.
See More
Braskem Reports 8% Decline in Q4 Resin Sales Volume in Brazil Compared to Last Year
- Sales Volume Decline: Brazil's Braskem reported an 8% decrease in sales volume for Q4 compared to the same period last year.
- Year-on-Year Comparison: The decline in sales volume reflects a significant drop from the previous year's figures.
See More
BRASKEM: BRASKEM IDESA CONTINUES DISCUSSIONS ON CAPITAL STRUCTURE
- Brazil's Braskem: Braskem is currently engaged in discussions regarding its capital structure.
- Focus on Financial Stability: The talks aim to address financial stability and potential restructuring options for the company.
See More
