FMC: FMC Announces $200M Supply & Licensing Agreement Pre-Payment from CTVA

研报英文原文证据摘录

FMC: FMC Announces $200M Supply & Licensing Agreement Pre-Payment from CTVA

EQUITY RESEARCH QUICK TAKE

RBC Capital Markets, LLC

Arun Viswanathan, CFA (Analyst)

Adam Hamilton (AVP)

Brian Dong (Senior Associate)

June 17, 2026

FMC Corporation

FMC Announces $200M Supply & Licensing Agreement Pre-Payment from CTVA

NYSE: FMC | USD 11.98 | Sector Perform | Price Target USD 14.00

Sentiment: Positive

Maintain Sector Perform. We view this agreement as somewhat neutral to slightly positive for FMC given a tangible near-term

benefit given a $200M pre-payment from CTVA, which provides a meaningful cash injection for a company that has been navigating

an elevated net leverage ratio (~5x TTM as of 1Q26). While ~$200M would only de-lever FMC by ~0.25x given TTM adj. EBITDA of

~$800M, this could represent ~$150-200M in equity value or ~$1.40 on the stock price based on current consensus FY26 EBITDA

estimates of ~$700M (vs. today's ~+$0.90 or ~8% change in FMC stock). Beyond the liquidity benefit, the deal provides some

validation of Rimisoxafen commercial viability as a new product. That said, we note that first commercial sales are not anticipated

until the end of the decade and regulatory approvals are still pending and does not alleviate near-term concerns on earnings

headwinds from generic pricing pressure (particularly in Latam), weak farm fundamentals, and FX that continue to weigh on FMC's

core business. As such, we expect a somewhat neutral stock reaction, and we remain somewhat neutral on FMC, as we view the

positive news as having somewhat limited upside, and we would still like to see stabilization in near-term fundamentals and

an improving crop protection environment in Latam before becoming more constructive on the stock.

Licensing Agreement.