Synthetic Biology (non-pharma)
Mosaic Launches Renuvis Enzara Enzyme Product After $273 Million Quarterly Loss
Mosaic Biosciences, a unit of The Mosaic Company, launched Renuvis Enzara, an enzyme-based treatment designed to speed up crop residue breakdown, on August 17, less than two weeks after Mosaic reported a second-quarter net loss of $273 million, a sharp reversal from the $411 million profit it posted in the same quarter of 2025. The product uses endoglucanase enzyme technology that works in soil as cold as 32 degrees Fahrenheit. Mosaic also trimmed its 2026 capital expenditure outlook to $1.2 billion from an earlier $1.25 billion, sold its Carlsbad, New Mexico, potash mine during the quarter, and lined up a $1 billion term loan to refinance and extend its short-term commercial paper, while keeping its regular dividend at $0.22 per share. Second-quarter revenue came in at $2.8 billion, but the company posted an operating loss of $36 million and adjusted EBITDA fell to $407 million from $566 million a year earlier, with Phosphate swinging to an operating loss of $104 million from a loss of $8 million and Mosaic Fertilizantes moving from operating earnings of $109 million to an operating loss of $41 million. Potash was the one stable segment, generating $278 million in adjusted EBITDA, essentially matching the $278 million it produced a year earlier.
Critical Materials & Supply Chain▼
CHS and OCP propose $450M Louisiana fertilizer plant
Farm cooperative CHS Inc. and fertilizer producer OCP North America have proposed a $450 million phosphate fertilizer plant in Waggaman, Louisiana, which would be the first new U.S. plant of its kind in over 40 years. The facility would produce more than 1 million tons of phosphate-based fertilizer annually, potentially reducing U.S. reliance on imported phosphate fertilizers by more than 48%. The project could introduce significant competition for Mosaic Co., the largest U.S. phosphate producer, and expand Morocco-based OCP Group's presence in the American market. Agriculture Secretary Brooke Rollins praised the proposal, and Deputy Agriculture Secretary Stephen Vaden said it would provide true competition for American farmers. The project comes amid federal scrutiny of consolidation in the fertilizer industry and ongoing geopolitical disruptions to global fertilizer trade.
Mosaic Announces Final Results of Debt Tender Offers
The Mosaic Company announced the final results of its cash tender offers for four series of outstanding debt securities, which expired on August 14, 2026. Mosaic will accept all validly tendered 4.050% Senior Notes due 2027, 7.30% Debentures due 2028, and 5.375% Senior Notes due 2028, totaling $395,103,000, $38,931,000, and $275,878,000 in principal, respectively. For the 4.350% Senior Notes due 2029, Mosaic exercised its right to increase the acceptance amount by 2% of the outstanding principal, resulting in acceptance of $161,074,000 at a proration factor of approximately 37.78%. Settlement is scheduled for August 18, 2026, with holders receiving the applicable total consideration plus accrued coupon payments. Citigroup Global Markets Inc., BMO Capital Markets Corp., and U.S. Bancorp Investments, Inc. served as dealer managers for the offers.
Critical Materials & Supply Chain▼
Mosaic curtails phosphate output as sulfur shortages force Louisiana idling
Mosaic is curtailing phosphate production in the U.S. and Brazil due to sulfur shortages, with its Louisiana facility fully idled and some Florida plants operating at reduced rates. The company expects third-quarter phosphate volumes to decline to 1.1–1.4 million tons, while sulfur costs rise to approximately $700–$710 per ton. Despite lower sequential stripping margins and higher idle costs, DAP pricing of $820–$840 per ton should keep margins above historical averages. Mosaic is strengthening liquidity by cutting SG&A, reducing 2026 capital spending guidance to $1.2 billion, and targeting a $300–$500 million working-capital release, and it secured a $1 billion term loan to refinance commercial-paper maturities without drawing its $2.5 billion revolving credit facility.
Mosaic Misses Q2 Revenue Estimates, EPS Beats Consensus
Mosaic reported second-quarter revenue of $2.82 billion, a 6% year-over-year decline and a 7.3% miss versus the Zacks Consensus Estimate of $3.05 billion. Earnings per share came in at $0.13, down from $0.51 a year ago but 44.44% above the consensus estimate of $0.09. Key segment metrics showed Potash sales volumes of 2,019,000 tons, Phosphates sales volumes of 1,406,000 tons, and Mosaic Fertilizantes sales volumes of 1,520,000 tons, all below analyst projections. Net sales in Phosphates reached $1.25 billion, Mosaic Fertilizantes contributed $1.03 billion, and Potash generated $650 million, while Corporate and Other recorded a negative $106 million.
0K3B.LSE▲
Mosaic Stock Could Be 43% Undervalued Despite Fertilizer Production Push
Mosaic stock appears undervalued by roughly 43.3% based on a Discounted Cash Flow analysis, with an estimated intrinsic value of about $40.61 per share compared to the current price of $23.04. The company's price-to-sales multiple of 0.6x also sits well below its model-based fair P/S of 0.9x and the industry average of 1.1x, reinforcing the view that the stock is cheap on most metrics. The recent US Department of Agriculture commitment of $500 million to expand fertilizer production supports long-term demand sentiment, though fertilizer pricing and project economics remain key risks. Mosaic's latest twelve-month free cash flow showed an outflow of about $502 million, so the DCF model assumes a recovery in cash generation rather than extending the recent run rate. The share price has declined 33.7% over the past three years, and the valuation gap reflects investor caution around whether current fertilizer demand and pricing can sustain improved cash flows.
Critical Materials & Supply Chain
USDA Announces $500 Million Investment to Boost Domestic Fertilizer Production
The US Department of Agriculture has announced a $500 million investment in new and existing fertilizer facilities to accelerate domestic production. Agriculture Secretary Brooke Rollins said the agency will prioritize projects that can move faster, with a focus on nitrogen fertilizer initiatives such as CF Industries' low-carbon ammonia facility in Louisiana expected to break ground in about three weeks. The program will target a small number of projects that already have private financing and could be accelerated with federal capital, according to Deputy Agriculture Secretary Stephen Vaden. The move comes as fertilizer prices remain elevated due to geopolitical and trade conflicts, including US duties on key suppliers and the wars in Ukraine and Iran, raising concerns around US food security. Fertilizer stocks including Nutrien, Mosaic, and CF Industries fluctuated after the announcement as investors weighed the potential impact of federal support.
Critical Materials & Supply Chain▼
CF Industries faces margin pressure as natural gas costs surge
CF Industries Holdings is grappling with rising natural gas costs that threaten its margins despite healthy nitrogen fertilizer demand and higher prices. The company's average natural gas cost climbed to $3.31 per MMBtu in 2025 from $2.40 a year earlier, and further increased to $4.57 per MMBtu in the first quarter of 2026 from $3.68 in the prior-year period, driving up cost of sales. Peers Nutrien and Mosaic are also contending with elevated input costs, including sulfur and ammonia, which have compressed phosphate margins and are expected to exert additional pressure in the second quarter. CF Industries stock has risen 11.7% over the past year, outperforming the Zacks Fertilizers industry's 5.2% decline, and trades at a forward earnings multiple of 7.15, a 34.1% discount to the industry average. The Zacks Consensus Estimate projects an 83.1% year-over-year jump in 2026 earnings followed by a 34.9% decline in 2027, with estimates for both years trending higher over the past 60 days.
0K3B.LSE▲
Bullish thesis on Mosaic sees cyclical recovery and 4% dividend yield
A bullish thesis on The Mosaic Company argues that the fertilizer producer's current low share price reflects temporary headwinds rather than structural decline. Mosaic shares traded at $22.90 as of June 18th, with a forward P/E of 21.60, and the company offers an approximate 4% dividend yield. The thesis views elevated sulfur costs as a short-term spike and expects production curtailments to support fertilizer pricing over time, while potash operations provide a steady earnings base. Long-term demand is anchored in global food security for nearly eight billion people, positioning Mosaic as a cyclical recovery play with essential commodity exposure.
USA