Ambipar on the Brink – Our Analysts Explain Why the Brazilian Giant’s Collapse Shook Global Credit Markets

Gretchen Morgenson

At FinancialMediaGuide, our analysts note that the bankruptcy of Ambipar has become a serious warning sign for global credit markets. The Brazilian waste management giant filed for bankruptcy protection after severe liquidity problems left it unable to meet its obligations and exposed the company to billions in accelerated debt repayments.

According to our sources, Ambipar Emergency Response, the company’s U.S.-listed subsidiary, filed for Chapter 11 protection in Texas, listing assets between $1 billion and $10 billion and liabilities ranging from $100 million to $500 million. Meanwhile, Bank of New York Mellon, acting as trustee for bondholders, reported unsecured claims worth roughly $328 million tied to Ambipar’s 2031 and 2033 green bonds.

Our experts highlight that the firm’s financial troubles began long before the filing. Earlier this year, Ambipar obtained a temporary court injunction in Rio de Janeiro preventing the early maturity of its debt. However, a dispute with Deutsche Bank, which demanded additional collateral, intensified the company’s financial strain. Later, Ambipar was removed from all B3 stock exchange indexes over governance concerns and appointed BR Partners as its financial adviser.

According to information obtained by FinancialMediaGuide, the bankruptcy resulted from financial irregularities involving swap transactions and the sudden resignation of the company’s CFO. These events severely undermined market confidence, triggered creditor reactions, and led to a near-total collapse in investor trust. Ambipar’s shares have plummeted almost 96% since the start of the year, reflecting the depth of the crisis.

Our experts at FinancialMediaGuide emphasize that this case is part of a broader pattern – a growing fragility in corporate credit markets where internal mismanagement and excessive leverage expose hidden systemic risks. In our view, Ambipar’s downfall underscores the vulnerability of global debt structures to financial instability and poor corporate oversight.

We at Financial Media Guide believe this event could mark a turning point, forcing investors to reexamine risk management practices and corporate transparency standards worldwide.

Previously, we reported that Merck strengthens its position in healthcare – the company focuses on deals and growth in life sciences.

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