Brazilian waste-management company Ambipar Participações e Empreendimentos SA decided to file for bankruptcy protection there, capping a rout after governance concerns, downgrades and executive exits that added to broader credit market risks.
Meanwhile, subsidiary Ambipar Emergency Response filed for Chapter 11 in Texas. The woes come amid a string of setbacks for Brazilian companies in recent weeks. Petrochemicals giant Braskem SA surprised bondholders by tapping advisers for a capital structure review, and troubles around Banco Master are threatening to spread to companies and pension funds exposed to its debt instruments.