São Paulo, April 20, 2021.
Securities and Exchange Commission of Brazil (CVM)
Re.: Official Letter 82/2021/CVM/SEP/GEA-1 - Request for clarifications on news report
We refer to Official Letter 82/2021/CVM/SEP/ GEA-1 ("Official Letter") dated April 19, 2021, transcribed below, through which you requested clarifications from Braskem S.A. ("Braskem" or "Company") regarding the following news report published in the broadcast column of the newspaper "O Estado de São Paulo" on April 18, 2021, entitled "Fundo soberano Mubadala quer controle da Braskem" [Sovereign wealth fund Mubadala wants control of Braskem], which contains the following statements:
Mubadala, the UAE sovereign wealth fund, is already negotiating with Odebrecht, renamed Novonor, to acquire its 50.1% interest in Braskem. The sale of interest, furnished as guarantee for the loans taken by the group, is envisaged in Odebrecht's court-supervised reorganization plan.
In this regard, we request that the company confirm the veracity of the news report and, if affirmative, explain the reasons why it was not the subject-matter of a material fact notice and provide any other information deemed relevant on the topic.
In this regard, Braskem clarifies to the market that:
(a) on August 7, 2020, the Company was informed by Novonor S.A. - Under Court-Supervised Reorganization ("Novonor"), formerly known as Odebrecht S.A., that it was launching preparations to structure a private divestment of up to its entire shareholding interest in the Company (M&A), in compliance with the commitments undertaken towards its bankruptcy and other creditors. This information was disclosed by Braskem through a Material Fact notice the same day.
(b) when questioned by the Company, Novonor clarified the following: "On August 7, 2020, Novonor informed Braskem S.A. ("Braskem") that it was launching preparations to structure a private divestment of up to the entire shareholding interest held by the Novonor Group in Braskem (M&A), in compliance with the commitments undertaken towards its bankruptcy and other creditors, which was disclosed by Braskem through a Material Fact notice the same day. Since then, Novonor has been taking steps to prepare and kickstart the M&A process, which include the hiring of legal and financial advisors, establishment of a data room and the preparation of materials. The M&A process is in the preliminary stages and Novonor has, through its advisors, contacted investors who may be interested in the transaction, but there are no specific or advanced discussions with any investor in particular."
Pedro van Langendonck Teixeira de Freitas
Chief Financial and Investor Relations Officer