FMC (FMC) Bank of America 2026 Global Agriculture and Materials Conference summary

Strategic direction and operational plans

• Two parallel strategies: Plan A focuses on operational improvements and asset divestitures, while Plan B explores broader strategic alternatives including a potential sale or merger.

• Plan A includes $1 billion in asset sales, primarily the India business, reshaping manufacturing to lower costs, implementing a post-patent strategy for Rynaxypyr, and driving growth of four new active ingredients.

• Asset divestitures and licensing deals are progressing, with binding offers for the India business expected soon and a significant licensing agreement likely by early Q2.

• Plan B is being actively pursued with the help of Bank of America and Goldman Sachs, including management presentations to interested parties.

• Retention of the four new molecules is a priority, with licensing preferred over outright sales unless extraordinary circumstances arise.

Product and portfolio strategy

• Licensing agreements for advanced molecules are structured to maximize market reach and EBITDA, often including exclusivity by territory or crop.

• Dodhylex and Rimisoxafen are highlighted as molecules with unique technical capabilities and broad market potential.

• No plans to sell entire product lines or new molecules; focus remains on licensing and portfolio rebalancing toward herbicides, fungicides, and biologicals.

• Patent protection and brand strength are key defenses against generic competition, especially for new formulations and blends.

Market conditions and manufacturing footprint

• Prolonged downturn and aggressive generic competition have pressured prices and volumes, particularly in Latin America and Asia.

• Manufacturing cost reductions are targeted by shifting active ingredient production from Europe and North America to India and China, aiming for $150–$170 million in annual savings.

• The company will retain in-house manufacturing for new active ingredients and fungicides, leveraging existing facilities in India and China.

• Tariff risks are outweighed by cost advantages in India and China, which serve 80% of the business outside the U.S.