FMC: FMC to Sell 20% Stake for $400M; ~$1B Debt Reduction Target Achieved and Strategic Review Concluded

研报英文原文证据摘录

FMC: FMC to Sell 20% Stake for $400M; ~$1B Debt Reduction Target Achieved and Strategic Review Concluded

EQUITY RESEARCH QUICK TAKE

RBC Capital Markets, LLC

Arun Viswanathan, CFA (Analyst)

Adam Hamilton (AVP)

Brian Dong (Senior Associate)

July 1, 2026

FMC Corporation

FMC to Sell 20% Stake for $400M; ~$1B Debt Reduction Target Achieved and Strategic

Review Concluded

NYSE: FMC | USD 11.50 | Sector Perform | Price Target USD 14.00

Sentiment: Positive

Maintain Sector Perform. Overall, we positively view FMC's ~20% equity stake sale for ~$400M, as the $13.30/share offer

represents a ~16% premium to its closing price of $11.50 on 6/30 and is a ~0.6x net leverage reduction to our current ~$700M

FY26E EBITDA. Given the significant ~$1B debt reduction over the past few months and quick closure of its strategic review

(announced in Feb, Link), FMC appears dedicated to restoring its BS strength. Additionally, FMC appears to have a solid product

pipeline which should continue to create revenue upside over the next few years. That said, we would remain somewhat cautious

on the name, as we think NT earnings pressure in its legacy portfolio remains a significant headwind to improving sentiment

on the stock, and previous negative surprises from what appears to be largely company-specific destocking/competitive pressure

has left sentiment somewhat weaker on the name. That said, if FMC is able to create a strong turnaround in its financials and

paint a more positive earnings growth outlook, we could become more constructive on the name.

FMC to Sell 20% Minority Stake for $400M. Belgian industrial group Tessenderlo Group has agreed to make a ~$400M minority

investment in FMC at $13.30/share, or a 20% stake (~30.3M treasury shares). Per FMC, proceeds will be used to pay down debt,