Braskem Acquires Sunoco Chemicals in the United StatesBy Braskem S.a., PRNE
Sunday, January 31, 2010
The acquisition of Sunoco's polypropylene business for US$350 million initiates the Company's operations in the U.S. market
SAO PAULO, February 1 - BRASKEM S.A. (BOVESPA: BRKM3, BRKM5 and BRKM6; NYSE: BAK; LATIBEX: XBRK),
the leading resin producer in the Americas, announced that it has signed an
agreement with Sunoco, Inc. ("Sunoco"), a U.S.-based oil company, for the
acquisition by Braskem of the polypropylene (PP) business of Sunoco
Chemicals, Inc. ("Sunoco Chemicals"). Sunoco will receive US$350 million for
the shares in Sunoco Chemicals (only PP assets), upon closing, within 60
days. This transaction represents an important step in Braskem's
international expansion process.
Sunoco Chemicals has annual production capacity of 950,000 tons of
polypropylene. The company headquarters is located in Philadelphia, PA, and
Sunoco Chemicals has three plants located in La Porte, TX, Marcus Hook, PA,
and Neal, WV, which account for approximately 13% of installed U.S.
polypropylene production capacity.
"The acquisition of Sunoco Chemicals provides Braskem with a solid and
competitive platform for growth in the world's biggest market, which will
complement its ongoing internationalization strategy through important
greenfield projects under development in Mexico, Venezuela and Peru," said
Braskem's CEO Bernardo Gradin.
In addition to Sunoco's industrial units, the acquisition also includes a
technology and development center in Pittsburgh, PA, which will play an
essential role for Braskem in continuing to provide support for clients in
product and market development and technical assistance services.
Braskem expects to leverage this industrial and commercial base to
complete potential acquisitions or strategic alliances in the future and
expand its presence in the U.S. market and its leadership role as the largest
resin producer in the Americas, aiming to achieve its objective to become one
of the 5 largest petrochemical companies worldwide.
In this acquisition, Braskem had 2 financial advisors: JP Morgan and
For further information on the acquisition, Braskem invites shareholders
and investors to a webcast to be held TODAY, February 1st, at 11:30 a.m. US
ET, which can be accessed through its IR website at www.braskem.com.br/ir.
For further information, please contact Braskem's Investor Relations
Luciana Paulo Ferreira, +55-11-3576-9178, email@example.com Roberta Pimphari Varella, +55-11-3576-9266, firstname.lastname@example.org Marina Dalben, +55-11-3576-9716, email@example.com
Luciana Paulo Ferreira, +55-11-3576-9178, luciana.ferreira at braskem.com.br, or Roberta Pimphari Varella, +55-11-3576-9266, roberta.varella at braskem.com.br, or Marina Dalben, +55-11-3576-9716, marina.dalben at braskem.com.br, all of Braskem Investor Relations
Tags: BRASKEM S.A., Brazil, England, Sao paulo