Adnoc Drops Bid for Braskem Stake Held by Brazil’s Novonor (1)

The biggest oil producer in the United Arab Emirates is dropping its bid for a stake in Brazil’s Braskem SA as the Middle Eastern company’s aim to build a global chemical business runs into roadblocks over issues like valuation.

Abu Dhabi National Oil Co. informed Novonor SA, Braskem’s main shareholder, that it was no longer interested in continuing due diligence and negotiations to acquire a stake, according to a stock exchange statement. Braskem, Latin America’s leading petrochemicals company, tumbled as much as 16% in New York.

In the statement, Braskem published the contents of a letter it received from ...