Updated
Updated · Bloomberg · Jun 18
Elliott, SVP Global Buy Braskem Debt as $1.35 Billion Restructuring Talks Advance
Updated
Updated · Bloomberg · Jun 18

Elliott, SVP Global Buy Braskem Debt as $1.35 Billion Restructuring Talks Advance

1 articles · Updated · Bloomberg · Jun 18

Summary

  • Elliott Investment Management and SVP Global recently bought Braskem debt, taking positions as the Brazilian petrochemical maker seeks creditor backing for a restructuring plan.
  • The purchases included portions of Braskem’s revolving credit facility from existing lenders, while Elliott also accumulated some of the company’s international bonds, according to people familiar with the transactions.
  • Those trades place distressed-debt investors inside a capital structure under negotiation, potentially giving them influence as Braskem races to line up support for the deal.
  • Braskem’s debt has drawn fresh attention because the company is already in restructuring talks, making creditor positioning a key signal for how the process may unfold.

Insights

As a market recovery looms, will activist investors' high-stakes play on Braskem's debt pay off as planned?
With new owners and activist creditors, who is now really in control of Brazil's petrochemical giant?