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BASFY to Divest Optical Brightening Agent Business to Catexel

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Key Takeaways

  • BASFY signed a deal to divest its optical brightening agent business as part of its Winning Ways strategy.
  • The sale includes the Monthey, Switzerland facility and about 80 employees, with financial terms undisclosed.
  • Catexel will integrate the business into its specialty chemicals portfolio, with closing expected in Q1 2026.

BASF SE (BASFY - Free Report) has signed a definitive agreement to divest its optical brightening agent business to Catexel, aligning with the company’s ongoing portfolio transformation under its ‘Winning Ways’ strategy. Optical brightening agents — specialty ingredients used predominantly in laundry detergent formulations to enhance whiteness and brightness — have been part of BASFY’s Care Chemicals division. 

The transaction includes the international business unit, notably the production facility at Monthey in Switzerland and around 80 employees, and reflects BASF SE’s focus on strategically prioritizing businesses that are more closely integrated into its core value chains. 

The companies did not disclose the financial details of the transaction, which is subject to standard regulatory and closing conditions, with the deal anticipated to close in the first quarter of 2026. 

BASFY emphasized that the divestment supports its strategy to actively manage its portfolio and prioritize key segments, while entrusting the business to a new owner with dedicated focus and capabilities to further develop its potential. Catexel, the Care Chemicals platform of the International Chemical Investors Group, will integrate the optical brightening agent business into its expanding portfolio of specialty chemicals for detergents, cleaning products, personal care and industrial applications. 

Catexel stated that the acquisition represents a strategic milestone, providing a foundation for further growth and innovation by leveraging the Monthey facility and the experienced workforce. BASF SE affirmed that it will remain a leading supplier and innovator of ingredients for the home care and industrial & institutional cleaning markets even after the closing of the divestiture. 

Shares of BASFY have gained 8.9% in the past six months against the industry’s 12.4% decline. 

Zacks Investment ResearchImage Source: Zacks Investment Research

BASFY’s Zacks Rank & Key Picks

BASFY currently carries a Zacks Rank of #3 (Hold). 

Some better-ranked stocks in the Basic Materials space are LSB Industries, Inc. (LXU - Free Report) , Equinox Gold, Corp. (EQX - Free Report) and OR Royalties, Inc. (OR - Free Report) , each carrying a Zacks Rank #2 (Buy) at present. You can see the complete list of today’s Zacks #1 (Strong Buy) Rank stocks here.

The Zacks Consensus Estimate for LXU’s current-year earnings is pegged at 36 cents per share, indicating a 57% year-over-year increase. Its earnings beat the Zacks Consensus Estimates in two of the trailing four quarters and missed twice, with the average earnings surprise of 141.3%. 

The Zacks Consensus Estimate for EQX’s current fiscal-year earnings stands at 54 cents per share, reflecting a 170% year-over-year increase. Its earnings beat the Zacks Consensus Estimates in two of the trailing four quarters and missed twice, with the average earnings surprise of 87%. 

The Zacks Consensus Estimate for OR’s current fiscal-year earnings is pegged at 83 cents per share, indicating a 60% year-over-year increase. Its earnings beat the Zacks Consensus Estimates in three of the trailing four quarters and missed once, with the average earnings surprise of 4%. 



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