Tessenderlo Group N.V.

FMC Corporation shares rallied 15.8% on Thursday after the agricultural chemicals company reported second-quarter earnings that missed revenue expectations and lowered full-year guidance. Revenue fell 17% to $867 million, missing estimates by $30 million, while adjusted earnings per share of $0.26 beat expectations despite a 62% decline from the prior year. Management now forecasts full-year revenue of $3.5 billion to $3.7 billion, down from a prior range of $3.6 billion to $3.8 billion, and adjusted EPS of $1.34 at the midpoint, down from $1.76. The stock's surge came off a deeply depressed valuation, as investors appeared to welcome progress on debt reduction, including a $400 million investment from Tessenderlo Group for a 20% stake, a $200 million upfront payment from Corteva for rimisoxafen technology, and the $252 million sale of its India business to Crystal Crop Protection Limited. These moves support management's goal of paying down $1 billion in debt this year, offering a measure of relief for a company whose shares had fallen over 90% since early 2023.

FMC stock has fallen roughly 88% over three years, yet it passes five of six valuation checks on Simply Wall St's framework, suggesting the stock leans cheap. The company trades at a price-to-sales ratio of about 0.4 times, well below the chemical sector peer average of around 1.3 times and a model-implied fair multiple of about 1.6 times. A planned US$400 million equity investment from Tessenderlo Group and an agreed US$114 million property sale aim to reduce debt and improve financial flexibility. The key question is whether the current discount reflects excessive pessimism or a fair cushion for balance sheet risk, with the stock's next move likely tied to progress on debt reduction, cash generation, and margins.

FMC Corporation has entered into a definitive agreement with Belgium-based Tessenderlo Group for a minority equity investment of approximately $400 million. Tessenderlo Group will purchase FMC shares at $13.30 per share, and upon completion of the transaction, it will own about 20% of FMC's outstanding common stock. The deal is subject to customary closing conditions, including regulatory approvals. The investment marks the conclusion of FMC's strategic options review, which the company's board initiated in February 2026 to strengthen its financial position and maximize shareholder value. FMC plans to use the proceeds primarily to reduce debt, allowing it to achieve its previously announced target of approximately $1 billion in debt repayment. Management believes the stronger capital structure will support continued investment in research and development and accelerate the commercialization of its proprietary crop protection technologies. The transaction follows several financial initiatives undertaken in recent months to strengthen liquidity and unlock capital, including amending its revolving credit facility to obtain covenant relief, raising $1.2 billion through a secured high-yield bond offering, agreeing to sell its India commercial business for $252 million, signing a supply and license agreement with Corteva that includes an initial $200 million prepayment, and entering into a $114 million sale-and-leaseback agreement for its Newark, Delaware property. Per Tessenderlo Group, the investment supports its strategy of acquiring minority stakes in high-quality businesses while expanding its agricultural platform, and it cited FMC's long-term growth potential driven by its next-generation proprietary crop protection technologies. Per FMC, the agreement reflects a comprehensive review process and positions the company to execute its operational and strategic plan with improved leverage and liquidity, and the company expects the strengthened financial position to enhance its ability to serve customers while delivering long-term value to shareholders.

Darling Ingredients has secured a U.S. patent for Nextida GC, a collagen peptide designed to support healthy blood sugar levels, while Barclays initiated coverage on the company with an Equal-Weight rating. The patent supports Darling's push into higher-margin health and nutrition markets, complementing the formation of an 85/15 joint venture with Tessenderlo that combines its Rousselot business with PB Leiner, expected to generate about US$1.5 billion in annual revenue. These moves aim to rebalance Darling's mix beyond renewable diesel, though near-term catalysts remain margin recovery at Diamond Green Diesel and ongoing regulatory and feedstock volatility. The company's narrative projects $7.2 billion in revenue and $676.3 million in earnings by 2029, implying a 5.4% annual revenue growth and a significant earnings increase from the current $62.8 million.