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Braskem shares plunge on delayed Petrobras disposal

Published 12/09/2021, 07:17 AM
Updated 12/09/2021, 09:16 AM
© Reuters. FILE PHOTO: People walk in front of Brazil's state-run Petrobras oil company headquarters in Rio de Janeiro, Brazil, October 16, 2019. REUTERS/Sergio Moraes/File Photo

SAO PAULO (Reuters) -Shares in Brazil's Braskem SA (NYSE:BAK) plunged on Thursday after state-run oil company Petrobras said it has yet to decide when and how to proceed with the proposed sale of its stake in the petrochemicals producer.

Petroleo Brasileiro SA, as Petrobras is formally known, said in a securities filing that it is still conducting studies on the planned deal.

Shares in Braskem were down 5.8% at 54.65 reais in early trading in Sao Paulo, making it the biggest loser on the Bovespa index, which fell by 1.3%.

Petrobras, which owns 36.1% of Braskem, has repeatedly expressed its intention to sell its stake.

The latest remarks came after the Estado de S. Paulo newspaper reported that Petrobras and Brazilian conglomerate Novonor were expected to start selling their stakes through a share offering in February.

Novonor, formerly known as Odebrecht, declined to comment.

© Reuters. FILE PHOTO: People walk in front of Brazil's state-run Petrobras oil company headquarters in Rio de Janeiro, Brazil, October 16, 2019. REUTERS/Sergio Moraes/File Photo

Last week the conglomerate said it was considering exiting its 38.3% stake in Braskem via a share offering.

Novonor had previously sought bidders for its stake in Braskem. After that process failed, various media outlets, including Reuters, reported that the company was planning to exit Braskem via a share offering.

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