NewMarket set to purchase Calca Solutions, details not revealed
Acquisition Announcement: NewMarket has entered into a definitive purchase agreement to acquire Mars TopCo, the parent company of Calca Solutions, which is currently owned by AE Industrial Partners.
Transaction Details: The acquisition is expected to close in 2025, pending customary closing conditions, including antitrust clearance, and will be financed through available cash and borrowings from NewMarket's revolving credit facility.
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- Sales Forecast: Neuren Pharmaceuticals anticipates that its prescription drug DAYBUE for Rett syndrome will achieve global net sales of $700 million by 2028, reflecting strong growth potential in the market.
- Patient Treatment: Since its U.S. launch, over 2,000 Rett patients have been treated with DAYBUE, with a 12-month treatment persistency increase of 55%, indicating high patient reliance and satisfaction with the drug.
- Market Expansion: The company continued to expand its U.S. customer-facing teams in the second quarter of 2025, further driving DAYBUE sales growth, which underscores its strategic focus on market penetration and customer service.
- New Product Launch: The DAYBUE STIX formulation is set to launch in the U.S. in the first quarter of 2026, with a full commercial rollout planned for the second quarter, marking a significant enhancement of the company's product line and competitive positioning.
- Oversold Condition: NewMarket Corp's stock price fell to $695.94 on Tuesday, with an RSI reading of 29.7 indicating an oversold condition, suggesting potential buying opportunities for investors.
- Dividend Yield: Based on the current price of $704.44, NEU's annualized dividend of $12 per share translates to a yield of 1.70%, making it an attractive option for dividend investors seeking higher returns.
- Market Comparison: NEU's low RSI compared to the average RSI of 52.0 for covered dividend stocks suggests that recent heavy selling may be exhausting, drawing interest from bullish investors.
- Investor Strategy: While dividends are not always predictable, analyzing NEU's dividend history can assist investors in assessing the likelihood of continued payments, enabling more informed investment decisions.

Stock Performance: NewMarket Corporation's share price has increased by 137% over the last three years, with a recent 2.8% rise, indicating strong market sentiment aligned with its earnings per share (EPS) growth of 33% annually.
Total Shareholder Return: The total shareholder return (TSR) for NewMarket over the past three years is 151%, surpassing its share price return, largely due to dividends that have enhanced overall returns.
Recent Growth: NewMarket has delivered a 46% TSR in the last twelve months, suggesting improved business momentum compared to a 17% annualized return over the past five years.
Investment Considerations: While NewMarket shows promising returns, potential investors should be aware of one warning sign and consider insider buying trends before making investment decisions.

Financial Performance: NewMarket Corporation reported a net income of $100 million for Q3 2025, down from $132 million in Q3 2024, with petroleum additives sales at $649 million and operating profit at $131 million, impacted by one-time charges and a 4.1% shipment decrease.
Strategic Investments: The company expanded its Specialty Materials segment by acquiring Calca Solutions, LLC, and plans to continue investing in technology and inventory optimization to enhance long-term value for shareholders.
Dividend Increase: NewMarket returned $155 million to shareholders in the first nine months of 2025, including a 9% increase in the quarterly dividend to $3 per share, effective January 2, 2026.
Market Challenges: Management acknowledged ongoing inflationary pressures and market softness affecting shipments, particularly in petroleum additives, while expressing confidence in cash flow and capital returns despite these challenges.

Earnings Announcement: NewMarket Corporation plans to release its third quarter 2025 earnings on October 30, 2025, with a conference call scheduled for October 31, 2025, at 3:00 pm ET to discuss the results.
Company Overview: NewMarket operates through subsidiaries that produce chemical additives for petroleum products, specialty materials for aerospace and defense, and high-purity hydrazine for advanced applications, emphasizing a commitment to safety and innovation.
Acquisition Announcement: NewMarket Corporation has completed the acquisition of Mars TopCo, LLC, the parent company of Calca Solutions, LLC, a leading producer of high-purity hydrazine, essential for aerospace and defense applications.
Strategic Growth: This acquisition, along with previous investments, is part of NewMarket's strategy to diversify and strengthen its presence in high-technology sectors, with a commitment of approximately $1 billion towards these efforts.






