Braskem, the Brazilian petrochemical leader in the production of thermoplastic resins in the Americas, and North American oil company Sunoco, Inc. (R&M) ("Sunoco"), signed an agreement for Braskem to acquire Sunoco Chemicals, Inc., the polypropylene (PP) asset division in the United States. Sunoco will receive US$ 350 million for the transfer, which will be concluded in up to 60 days. This operation represents an important stage in Braskem’s internationalization process.
Sunoco Chemicals has the capacity to produce 950,000 tons of PP per year. The company's head office is located in Philadelphia, Pennsylvania, and there are three industrial units, located in La Porte – Texas, Marcus Hook – Pennsylvania and Neal – West Virginia, responsible for approximately 13% of the installed capacity for PP production in the United States.
"The acquisition of Sunoco Chemicals will allow Braskem to take that first step forward in its strategy of establishing operations in the largest and most competitive resin market, complementing its strategy of internationalization already underway through major greenfield projects in Mexico, Venezuela and Peru," said Bernardo Gradin, CEO of Braskem.
In addition to the industrial units, the acquisition also includes a technology center in Pittsburgh, Pennsylvania, which will be fundamental for ensuring that Braskem continues to support its Clients in product and market development and in technical support services.
Using this industrial and commercial base as a starting point, and through future acquisitions or strategic alliances, Braskem will have the means to consolidate its presence in the North American market and its leadership as the largest resin producer in the Americas, all in alignment with its strategy of becoming one of the top five global petrochemical companies.
Two financial advisors assisted Braskem with the acquisition: JP Morgan and Blackstone.