FMC Corp. Just Agreed to Sell Its India Commercial Business. Here's What That Means for the Stock in 2026.

Agricultural chemical producer FMC Corp. (NYSE: FMC) has had a difficult run in the markets. Over the past couple of years, FMC has seen some of its proprietary chemicals come off-patent. At the same time, the agriculture industry has experienced a difficult crop cycle, with low prices making it difficult for farmers to invest in additional chemicals.

Add in a fair amount of debt, and FMC's stock has plummeted 90% from its early 2022 highs.

However, FMC just announced an asset sale this month that could alleviate some of the debt pressure. With tightening global markets and a bargain-basement stock price, could the sale signal the beginning of a turnaround?

FMC sells its India business

On May 7, FMC announced that it would sell its Indian business to Crystal Crop Protection Limited, a crop chemical company based in India, for $252 million. The deal is supposed to close by the end of this year. As part of the deal, Crystal will take over FMC's commercial operations in India, while retaining a license to FMC's brands and preferred access to FMC's research and development pipeline.

FMC first announced its intention to sell its Indian business in July 2025 to reduce debt and avoid the issues that had plagued it. Last year, the company took back excess inventory that had built up in the Indian sales channel, resulting in a massive revenue reversal and decline in earnings. FMC slashed its dividend by 92% as a result.

The sale of the business will help the company avoid that complicated market, and also make a small dent in its debt load. As of March 31, FMC had over $4.5 billion in debt, so the India sale will cut that total by just about 5.6%. While only a small reduction in debt, every little bit helps.

Image source: Getty Images.

FMC's turnaround is tenuous

FMC could use any help the market offers. Last quarter, both revenue and adjusted EBITDA (earnings before interest, taxes, depreciation, and amortization) fell year over year, and the first quarter of last year was not that great to begin with.

There is some optimism that FMC will benefit from the closure of the Strait of Hormuz, as that should tighten the global fertilizer market. However, those benefits didn't show up in the first quarter.

FMC is also open to selling its business outright, with its CEO stating in March that there were multiple interested parties in the company's research pipeline.

All in all, the sale of the India business is a positive step in FMC's attempted turnaround. However, it's a small one. FMC's survival will depend on how it navigates this difficult environment, the success of its new molecules in development, and whether the company attracts a buyout at a fair price. All of those are still big question marks.

Billy Duberstein and/or his clients have positions in FMC and has the following options: short January 2027 $30 calls on FMC. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy.