Novonor Agrees to Sell Controlling Stake in Braskem for BRL 20 Billion

After years of speculation and prolonged negotiations, Novonor (formerly Odebrecht) has officially agreed to sell its controlling stake in petrochemical giant Braskem to IG4 Capital. The transaction, valued at approximately BRL 20 billion, marks the end of an era for the Brazilian conglomerate and signals a major governance restructuring for the Americas’ leading producer of thermoplastic resins and biopolymers.

A Strategic Shift in Ownership

The deal involves the transfer of Novonor’s 50.1% voting capital in Braskem to an investment fund managed by IG4 Capital. For Novonor, the sale is a critical step in its judicial recovery plan, allowing the group to settle substantial debts accrued over the past decade. For Braskem, the entry of IG4 Capital is expected to professionalize management structures and distance the company from the legacy issues of its former parent company.

Market analysts suggest that IG4’s expertise in corporate turnaround and governance will provide Braskem with the stability required to navigate a volatile global petrochemical market while accelerating its decarbonization goals. Petrobras, which holds a significant minority stake in Braskem, retains its existing shareholder rights, though discussions regarding a potential tag-along sale or a new shareholder agreement are expected to follow.

Implications for the Bioplastics Market

Braskem is globally recognized for its leadership in the bio-based plastics sector, specifically its “I’m green™” portfolio, which utilizes sugarcane ethanol to produce carbon-negative Polyethylene (PE) and EVA. Industry observers are closely watching how the change in control will influence capital allocation toward these sustainable initiatives.

Under the new ownership structure, Braskem is expected to double down on its circular economy commitments. IG4 Capital has previously indicated a strong focus on ESG criteria in its portfolio management. This alignment suggests that Braskem may accelerate its investment in expanding bio-based production capacity at the Triunfo complex and further developing proprietary technologies for bio-polypropylene (Bio-PP), aiming to meet the aggressive sustainability targets set by global CPG brands for 2030.

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