What are the two new debt restructuring proposals that Braskem's bondholders, including Elliott, have put forward?

The bondholders, including U.S. hedge fund Elliott, have presented two proposals: (1) a debtor-in-possession (DIP) loan that could convert to equity—resulting in significant dilution of current shareholders—and (2) an extension of bond maturity with all of Braskem’s assets pledged as collateral.

Why did Braskem reject both restructuring proposals from its bondholders?

Braskem rejected both proposals because its controlling shareholders are unwilling to accept the equity dilution implied by the DIP loan option or to pledge a substantial share of the company’s assets as collateral under the maturity extension option.

Bondholders Make New Proposal to Braskem, Which Rejects Dilution

Jul 21, 2026

Braskem rejected two debt restructuring proposals from bondholders, including Elliott, refusing shareholder dilution or asset pledges. The company filed for 60-day court protection while negotiations continue.

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