There are two phrases that are all the rage in the NFL these days. The first: "Let's do this." The second: "Get it done."
You know who is an NFL'er in spirit? Ed Breen, the CEO of DuPont (DD) . This morning he announced he is selling a crop protection business to FMC (FMC) and in return is getting a health and nutrition division from FMC and $1.2 billion to make up the difference.
By doing this, Breen's getting it done, "it" being getting the blessing from the European regulators to allow the Dow (DOW) DuPont deal to go forward.
Breen is a guy who gets it done, as anyone who owned Tyco through his stewardship, which brought you a staggering 960% return, knows.
His "let's do this" approach has created a win-win situation as he can accelerate the 3%-5% growth of the division he is taking from FMC while FMC becomes a 90% ag company with 10% being lithium batteries that will eventually be spun off in what will no doubt be a red-hot stock.
I've been pushing Dow, which is owned by Action Alerts PLUS, and FMC for ages. When this deal closes, Breen will split Dow-DuPont into three pure-play companies that I think will generate far bigger gains than we currently have. I don't know if they can be as big as Tyco, given the low basis Ed inherited from a company that looked like it could go bankrupt.
FMC? The 13% gain pretty much says it all. Amazingly, I don't think that FMC is done going higher. Too much value.
As for Dow? You just have to wait for Breen to get it done. And when he does? There's a lot more money to be made.