Executive Summary#

The $660 Million Inflection Point#

Albemarle Corporation (ALB has taken decisive action on October 27, 2025, announcing the sale of a controlling stake in its Ketjen refining catalyst business to KPS Capital Partners for combined proceeds of approximately $660 million—a transaction that marks a significant inflection point in the company's restructuring strategy. Rather than clinging to non-core assets during the cyclical lithium downturn, management's decision to divest Ketjen's majority stake while retaining a 49% minority position demonstrates a calculated capital allocation discipline that complements the geopolitical narrative established just two weeks earlier when Trump's tariff threats ignited a rally in critical minerals stocks. The transaction is notable not for what it surrenders—a non-core catalyst business—but for what it reveals about management's confidence in Albemarle's core lithium positioning and its determination to strengthen the balance sheet during a period of pronounced operational stress, positioning the company to capitalize on the recovery when lithium markets stabilize and policy support materializes.