Petroleo Brasileiro (PBR) and IG4 Capital on Wednesday received approval from the European Commission to acquire joint control of Braskem (BAK) under the EU Merger Regulation.

The Commission said the transaction raised no competition concerns due to the companies' limited combined market position and was reviewed under its simplified merger procedure.

The approval follows a December agreement by Novonor to sell its controlling stake in Braskem to IG4 Capital. Petrobras, already Braskem's second-largest shareholder, will share control with the private equity firm after the transaction closes, Petrobras said earlier.