LyondellBasell, one of the largest plastics, chemicals and refining companies in the world, announced it has ended discussions with Odebrecht S.A. concerning the potential acquisition of Braskem, the only integrated petrochemical company in Brazil.
Brazilian construction conglomerate Odebrecht S.A. is the controlling shareholder of São Paulo-based Braskem.
“The combination of LyondellBasell and Braskem is compelling because of the companies’ complementary strengths, product portfolios and operational footprints. However, after careful consideration, we jointly decided not to pursue the transaction,” said LyondellBasell CEO Bob Patel.
“We remain focused on advancing our disciplined, value-driven growth strategy. In addition, we intend to expedite our share repurchase program, which currently allows for the repurchase of up to 37 million of our outstanding shares. Our strong cash flows, ample liquidity, and healthy balance sheet allow us to deliver a growing, top-quartile dividend, advance organic growth, and maintain optionality for M&A opportunities while executing these significant opportunistic share repurchases,” said Patel.
LyondellBasell sells products into more than 100 countries and is the world’s largest producer of polypropylene compounds and the largest licensor of polyolefin technologies.