BASF shareholders back agriculture carve‑out as geopolitics bite into crop protection earnings

BASF shareholders have approved the carve-out of the group’s Agricultural Solutions division into a legally independent subsidiary, setting the stage for a potential IPO around 2027. The move, announced alongside BASF’s Q1 2026 results, is a strategic response to a volatile market shaped by Middle East tensions and the closure of the Strait of Hormuz, which have raised input costs and eroded farmer purchasing power, impacting crop protection earnings. Despite these challenges, the division posted stable volumes but weaker earnings due to currency headwinds, with management emphasizing the business’s long-term potential and resilience.