FMC Agrees to Sell Global Specialty Solutions Unit to Envu for $350 Million

FMC Corporation (NYSE: FMC), a leading global company in agricultural sciences, has finalized a definitive agreement to sell its Global Specialty Solutions (GSS) business to Environmental Science US, LLC, operating under the name Envu, a company focused on environmental innovations that safeguard and improve global environments. Envu will acquire the GSS business for $350 million, pending adjustment for closing working capital.

In November 2023, FMC disclosed its intention to assess strategic alternatives for GSS, which encompasses a product line catering to various non-crop sectors such as golf courses, professional sports stadiums, and pest control. With a focus on advancing products and services for the global crop protection market, FMC has determined that GSS does not align strategically with its medium- to long-term objectives.

Pierre Brondeau, Chairman and CEO of FMC, commented, “Global Specialty Solutions has been a profitable business with a robust growth track record. We anticipate that this agreement with Envu will ensure it receives the necessary attention and resources to sustain its success. This divestment allows FMC to concentrate fully on its core business.”

Envu, acquired by the global private equity firm Cinven in 2022, focuses exclusively on the environmental science sector. It views GSS as a strategic opportunity to bolster its growth strategy and further enhance its offerings in professional pest management, turf & ornamentals, and related areas.

Gilles Galliou, CEO of Envu, expressed, “As a company committed to providing innovative solutions to our customers, we are enthusiastic about integrating the GSS business. We foresee substantial synergies and opportunities for enhanced innovation through this collaboration. Having successfully navigated carveout transactions ourselves, we believe we are well-positioned to support GSS through this transition and optimize our combined potential.”

Marco Strizzi, Senior Principal at Cinven, commented, "We are pleased to unite two reputable and complementary businesses, both dedicated to delivering exceptional customer service and advancing product innovation in the thriving environmental science sector. FMC GSS represents a compelling strategic and financial addition to Envu, and we are committed to supporting the continued strong growth of the combined entity."

The transaction is anticipated to be finalized by the end of 2024, pending regulatory approval and standard closing conditions. FMC plans to allocate the entire proceeds from the sale towards reducing debt.

FMC is an agricultural sciences company that advances farming through innovative and sustainable crop protection technology. FMC is committed to introducing innovative solutions globally, spanning from its pioneering discovery pipeline and distinctive application systems to advanced biological products.