Offshore Bondholders Emerge as Main Backers of Braskem’s Rework

Braskem’s $11B debt rework was backed primarily by international bondholders, extending negotiations by 90 days to finalize a plan to balance its finances. While the creditor support reduces near-term default risk, the need for a major restructuring remains a credit headwind. Overall this is a cautious development for Braskem’s leverage and liquidity profile.