Braskem Shares Plunge 13.2% After Petrobras Decision
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 2 days ago
0mins
Source: seekingalpha
- Significant Stock Decline: Braskem (BAK) shares fell by 13.2% in Thursday's trading, reflecting market uncertainty regarding its future transactions, particularly after Petrobras (PBR) opted not to exercise its first-refusal rights, which may undermine investor confidence.
- Transaction Context: This decision pertains to the potential transfer of Braskem shares held by Novonor subsidiary NSP Investimentos S.A. to Shine I FIDC, indicating market concerns over changes in Braskem's equity structure that could impact its financing capabilities and market positioning.
- Future Disclosure: Both Braskem and Petrobras stated that additional material facts will be disclosed once final terms of the potential transaction are notified, which may influence investor expectations regarding the company's future developments, especially amid pre-transaction market volatility.
- Impact of Rating Changes: Although market sentiment towards Braskem has become more cautious, analysts' upgrades for 2026 could yield positive long-term effects for the company, particularly as market sentiment stabilizes.
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Analyst Views on BAK
Wall Street analysts forecast BAK stock price to fall
2 Analyst Rating
0 Buy
1 Hold
1 Sell
Moderate Sell
Current: 3.730
Low
2.80
Averages
3.05
High
3.30
Current: 3.730
Low
2.80
Averages
3.05
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.
Braskem Shares Plunge 13.2% After Petrobras Decision
- Significant Stock Decline: Braskem (BAK) shares fell by 13.2% in Thursday's trading, reflecting market uncertainty regarding its future transactions, particularly after Petrobras (PBR) opted not to exercise its first-refusal rights, which may undermine investor confidence.
- Transaction Context: This decision pertains to the potential transfer of Braskem shares held by Novonor subsidiary NSP Investimentos S.A. to Shine I FIDC, indicating market concerns over changes in Braskem's equity structure that could impact its financing capabilities and market positioning.
- Future Disclosure: Both Braskem and Petrobras stated that additional material facts will be disclosed once final terms of the potential transaction are notified, which may influence investor expectations regarding the company's future developments, especially amid pre-transaction market volatility.
- Impact of Rating Changes: Although market sentiment towards Braskem has become more cautious, analysts' upgrades for 2026 could yield positive long-term effects for the company, particularly as market sentiment stabilizes.
See More
Qube Research Discloses 1% Stake in Bakkavor Group PLC
- Stake Disclosure: Qube Research & Technologies Limited disclosed a holding of 5,899,795 cash-settled derivatives in Bakkavor Group PLC, representing a 1% interest, indicating its investment intentions in the company.
- Trading Details: In recent transactions, Qube executed multiple equity swaps of 2p ordinary shares, reducing long positions at prices ranging from 229 to 233.50 pence, reflecting its strategy to navigate market volatility.
- Regulatory Compliance: This disclosure adheres to Rule 8.3 of the Takeover Code, ensuring transparency and compliance, which underscores Qube's commitment to regulatory standards.
- Market Impact: Qube's stake disclosure may influence Bakkavor's market performance, prompting investors to monitor subsequent stock price fluctuations and market reactions.
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Qube Research Discloses 1% Stake in Bakkavor Group PLC
- Stake Disclosure: Qube Research & Technologies Limited disclosed a holding of 5,836,498 cash-settled derivatives in Bakkavor Group PLC, representing a 1% stake, indicating its investment interest in the company.
- Trading Details: In recent transactions, Qube increased its long positions through equity swaps at prices ranging from 230.50 to 233.50 pence per share, reflecting its positive outlook on Bakkavor's future performance.
- Regulatory Compliance: This disclosure adheres to Rule 8.3 of the Takeover Code, ensuring market transparency and demonstrating Qube's commitment to compliance and information disclosure.
- Market Impact: Qube's stake disclosure may influence Bakkavor's market performance, prompting investors to monitor subsequent stock price fluctuations and market reactions.
See More
Braskem Gains Ground as Novonor Moves Forward with Stake Sale Negotiations
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.
See More
Qube Research Discloses 1% Stake in Bakkavor Group PLC
- Stake Disclosure: Qube Research & Technologies Limited disclosed a holding of 5,683,128 cash-settled derivatives in Bakkavor Group PLC, representing 0.98% of the relevant securities, indicating its investment interest in the company.
- Trading Information: In recent dealings, Qube reduced its long position in Bakkavor by selling 2,036 and 2,162 shares at prices of £227.50 and £28.00 respectively, reflecting its response to market dynamics.
- Compliance Requirements: This disclosure adheres to Rule 8 of the Takeover Code, ensuring transparency and maintaining market fairness, highlighting Qube's commitment to compliance.
- Market Impact: Qube's stake disclosure may influence Bakkavor's market performance, prompting investors to monitor subsequent stock price fluctuations and market reactions.
See More
Braskem to compensate Brazil's Alagoas state with $222 million
Braskem's Q3 Performance: Braskem's stock rose by 17.3% after reporting a Q3 recurring EBITDA of $150 million and settling a long-standing environmental dispute with Brazil's Alagoas state.
Settlement Details: The company agreed to pay 1.2 billion reais ($222 million) to Alagoas, with 139 million reais already paid and the remainder to be settled in 10 annual installments.
See More
Braskem Shares Plunge 13.2% After Petrobras Decision
- Significant Stock Decline: Braskem (BAK) shares fell by 13.2% in Thursday's trading, reflecting market uncertainty regarding its future transactions, particularly after Petrobras (PBR) opted not to exercise its first-refusal rights, which may undermine investor confidence.
- Transaction Context: This decision pertains to the potential transfer of Braskem shares held by Novonor subsidiary NSP Investimentos S.A. to Shine I FIDC, indicating market concerns over changes in Braskem's equity structure that could impact its financing capabilities and market positioning.
- Future Disclosure: Both Braskem and Petrobras stated that additional material facts will be disclosed once final terms of the potential transaction are notified, which may influence investor expectations regarding the company's future developments, especially amid pre-transaction market volatility.
- Impact of Rating Changes: Although market sentiment towards Braskem has become more cautious, analysts' upgrades for 2026 could yield positive long-term effects for the company, particularly as market sentiment stabilizes.
See More
Qube Research Discloses 1% Stake in Bakkavor Group PLC
- Stake Disclosure: Qube Research & Technologies Limited disclosed a holding of 5,899,795 cash-settled derivatives in Bakkavor Group PLC, representing a 1% interest, indicating its investment intentions in the company.
- Trading Details: In recent transactions, Qube executed multiple equity swaps of 2p ordinary shares, reducing long positions at prices ranging from 229 to 233.50 pence, reflecting its strategy to navigate market volatility.
- Regulatory Compliance: This disclosure adheres to Rule 8.3 of the Takeover Code, ensuring transparency and compliance, which underscores Qube's commitment to regulatory standards.
- Market Impact: Qube's stake disclosure may influence Bakkavor's market performance, prompting investors to monitor subsequent stock price fluctuations and market reactions.
See More
Qube Research Discloses 1% Stake in Bakkavor Group PLC
- Stake Disclosure: Qube Research & Technologies Limited disclosed a holding of 5,836,498 cash-settled derivatives in Bakkavor Group PLC, representing a 1% stake, indicating its investment interest in the company.
- Trading Details: In recent transactions, Qube increased its long positions through equity swaps at prices ranging from 230.50 to 233.50 pence per share, reflecting its positive outlook on Bakkavor's future performance.
- Regulatory Compliance: This disclosure adheres to Rule 8.3 of the Takeover Code, ensuring market transparency and demonstrating Qube's commitment to compliance and information disclosure.
- Market Impact: Qube's stake disclosure may influence Bakkavor's market performance, prompting investors to monitor subsequent stock price fluctuations and market reactions.
See More
Braskem Gains Ground as Novonor Moves Forward with Stake Sale Negotiations
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.
See More
Qube Research Discloses 1% Stake in Bakkavor Group PLC
- Stake Disclosure: Qube Research & Technologies Limited disclosed a holding of 5,683,128 cash-settled derivatives in Bakkavor Group PLC, representing 0.98% of the relevant securities, indicating its investment interest in the company.
- Trading Information: In recent dealings, Qube reduced its long position in Bakkavor by selling 2,036 and 2,162 shares at prices of £227.50 and £28.00 respectively, reflecting its response to market dynamics.
- Compliance Requirements: This disclosure adheres to Rule 8 of the Takeover Code, ensuring transparency and maintaining market fairness, highlighting Qube's commitment to compliance.
- Market Impact: Qube's stake disclosure may influence Bakkavor's market performance, prompting investors to monitor subsequent stock price fluctuations and market reactions.
See More
Braskem to compensate Brazil's Alagoas state with $222 million
Braskem's Q3 Performance: Braskem's stock rose by 17.3% after reporting a Q3 recurring EBITDA of $150 million and settling a long-standing environmental dispute with Brazil's Alagoas state.
Settlement Details: The company agreed to pay 1.2 billion reais ($222 million) to Alagoas, with 139 million reais already paid and the remainder to be settled in 10 annual installments.
See More
