Braskem Tanks After Adnoc Abandons Talks for Stake

  • Braskem shares fell as much as 16% in New York on the news
  • Adnoc backed out of talks for stake in petrochemicals producer

A worker at the Braskem petrochemical plant in Duque de Caxias, Brazil.

Photographer: Maria Magdalena Arrellaga/Bloomberg
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Brazil’s Braskem SA tumbled on Monday after Abu Dhabi National Oil Co. dropped its bid for a stake in the troubled Brazilian petrochemicals company, a development that signals the stop-and-start sales process will drag on even longer.

Adnoc, the biggest oil producer in the United Arab Emirates, is walking away from its $2.1 billion offer, disappointing equity investors who were expecting a deal. Braskem shares fell as much as 16% in New York on the news and were on track for the lowest close since February.