Reports: Petrobras could buy Ipiranga's petchem division

Brazil's federal energy company Petrobras is interested in acquiring the petrochemical operations of local private oil group Ipiranga, local news sources reported. Sources say the two sides have held negotiations, but neither company would confirm that talks have taken place. Market analysts say the acquisition would fit in Petrobras' strategy to increase its presence in the petrochemical sector. Sources say that negotiations have bogged down because Ipiranga is asking US$300mn for the asset, but analysts believe a more realistic price would be US$200mn, Dow Jones reported.