Braskem in a deal to buy plastic maker Solvay Indupa

18-Dec-13

Latin America's largest petrochemical company- Braskem SA, reached a deal to buy plastic maker Solvay Indupa, largely by taking on debts of the Argentine-Brazilian unit of Belgium's Solvay SA , a unit valued at US$290 mln, as per Reuters. The deal, which represents Braskem's first move into production in Argentina, comes as the southern neighbor is courting foreign companies to develop the Vaca Muerta field, one of the biggest shale reserves in the western hemisphere. The company is building a $4.5 billion plant in Mexico and studying options for investment in the United States as it chases access to cheap natural gas rather than the more expensive naptha fuel stock it uses at most existing plants.