BASFY Divests Hydrosulfite Assets as Portfolio Review Continues

BASF SE BASFY has signed a definitive agreement to divest hydrosulfite-related assets to Silox. The transaction includes intellectual property rights, special containers, selected production equipment, technical expertise and associated trademarks in the company’s hydrosulfite business.

The deal follows BASF’s earlier decision announced in September 2025 to discontinue hydrosulfite production at its Ludwigshafen Site as part of a strategic portfolio review. By divesting these assets, BASF will streamline its portfolio while focusing on other inorganic chemicals produced at the Ludwigshafen plant, including alcoholates, sulfites and nitrogen salts.

The acquisition will strengthen Silox’s position as a leading producer of sodium hydrosulfite-based reducing and bleaching agents. With more than 70 years of expertise and production facilities in Belgium, India and Canada, the company emerges as a trusted partner in the global market. As hydrosulfites play a crucial role in various industrial applications, particularly as reducing agents in textile dyeing and as bleaching additives in pulp and paper production.

Silox Group, through the acquisition, reinforces its long-term commitment to the textile and paper industries. The agreement also reflects BASF’s strategy of prioritizing portfolio optimization.

BASFY stock has slumped 5.2% over the past year compared with the industry’s 8.3% decline.

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BASFY’s Zacks Rank & Key Picks

BASFY currently carries a Zacks Rank #4 (Sell).

Some better-ranked stocks in the Basic Materials space are Agnico Eagle Mines Limited AEM,Compañía de Minas Buenaventura S.A.A. BVN and Balchem Corporation BCPC.

While AEM and BVN sport a Zacks Rank #1 (Strong Buy) each at present, BCPC carries a Zacks Rank #2 (Buy).

The Zacks Consensus Estimate for AEM’s 2026 earnings is pegged at $13.28 per share, indicating a rise of 60.39% year over year. Its earnings beat the Zacks Consensus Estimate in each of the trailing four quarters, with an average surprise of 10.77%. AEM’s shares have soared 127.8% over the past year.

The Zacks Consensus Estimate for BVN’s 2026 earnings is pinned at $3.88 per share, indicating a 17.58% year-over-year increase. Its earnings beat the Zacks Consensus Estimate in each of the trailing four quarters, with an average surprise of 80.4%. BVN’s shares have jumped 183.9% over the past year.

The Zacks Consensus Estimate for BCPC’s 2026 earnings is pinned at $5.47 per share, indicating a 6.2% year-over-year increase. Its earnings beat the Zacks Consensus Estimate in two of the four trailing quarters, while missing it in the remaining two. BCPC’s shares have gained 2.7% over the past year.