By Brazil Stock Guide – Braskem S.A. (B3: BRKM3, BRKM5, BRKM6; NYSE: BAK) said on Friday that its Mexican affiliate Braskem Idesa failed to pay interest due on Feb. 20 on its 6.990% senior secured notes maturing in 2032. The skipped coupon deepens a liquidity crisis that began with a missed payment in November 2025 and pushes creditors closer to a formal default process.
Braskem Idesa operates the Etileno XXI complex in Coatzacoalcos, Mexico. The plant relies on ethane supply and exports polyethylene across the Americas. However, volatile feedstock flows and high leverage eroded cash generation in 2024 and 2025. In January 2026, the company shared non-public information with holders of its 2029 and 2032 notes as part of restructuring talks. The proposal may include debt exchanges, maturity extensions and deferred interest in early years.
Braskem said in its filing that Braskem Idesa continues negotiations to achieve a sustainable capital structure for the company
Creditors Shift to Recovery Mode
The second missed coupon in four months changes investor math. Bondholders now focus on recovery value, not yield. Depending on contractual grace periods, the Feb. 20 event could trigger acceleration clauses. Ratings agencies had already placed the notes deep in speculative territory earlier this year.
The 2032 notes became the centerpiece of the restructuring plan. Creditors may receive new instruments with longer maturities. They may also accept payment-in-kind interest instead of cash. Such terms usually imply net present value losses for investors.
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