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Braskem Idesa’s Cash Crunch Raises Concerns Among Investors
November 13, 2025
Braskem Idesa’s investors are said to be raising concerns as the company’s cash reserves have dwindled. Some have highlighted risks of a potential default. The Mexican petrochemical producer reported just $46mn in cash at end-September, down more than 50% QoQ. and against a $33.5mn coupon payment due Monday. Braskem Idesa’s liquidity has eroded as high input costs and weak demand strained operations. Its debt-to-earnings ratio soared to 25x by September, prompting the firm to hire advisers in August to assess its capital structure, spurring further bond losses. Bondholders have since engaged Houlihan Lokey for potential restructuring talks. There is growing speculation that Carlos Slim’s Grupo Financiero Inbursa has been buying Idesa’s bonds, potentially to convert them into equity via a restructuring. Braskem CEO Roberto Ramos hinted at improving debt metrics next quarter, fueling optimism that fresh funds may be imminent. The company’s challenges stem partly from a two-month plant shutdown and ethane supply disruptions from Pemex. Its parent owner Novonor SA is said to be reportedly nearing a deal to sell its Braskem stake to IG4 Capital, a move that could stabilize the broader group’s finances. The company was downgraded by Fitch and S&P earlier on restructuring concerns.
Braskem Idesa’s dollar bonds have tumbled 4-5 points since the beginning of the month. For instance, its 6.99% 2032s have dropped to 60.1 cents on the dollar, yielding 17.8%.
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