Corteva pauses dividends and buybacks while it appeals states' restraining order over Vylor split

Corteva has told a federal judge it will not declare dividends or repurchase stock while it fights a restraining order won by a group of states challenging the company's recent breakup, according to a regulatory filing Tuesday.

Fifteen states and one sovereign sued on Oct. 1 in federal court in the Southern District of Indiana, challenging the separation of Corteva and Vylor Inc. into two independent public companies and seeking an injunction.

On Oct. 9, the court issued a temporary restraining order. It bars Corteva and its subsidiary EIDP from disposing of assets outside the ordinary course of business, absent a court order, and enjoins the companies from paying dividends or buying back their common stock.

Order stayed, for now

The next day, at Corteva's request, the court stayed the order while the company seeks an emergency stay from the U.S. Court of Appeals for the Seventh Circuit. Corteva, Vylor and EIDP then filed a notice of appeal along with that motion, which remains pending.

The stay rests on a commitment from Corteva. In granting it, the district court relied on Corteva's representation that it did not intend to declare dividends or repurchase shares while the motion is under appellate review.

The order does not unwind the separation itself, which was completed on Oct. 1, the filing said, and it is not in effect while the motion is pending.

Corteva vows to fight

Corteva said it "strongly contests the legal and factual bases" for the relief sought and intends to keep "vigorously defending against the claims asserted," including by pursuing the appeal.

The company's risk language points to what comes next: the outcome and timing of the appeal, the possibility that the stay could be lifted, and the chance of additional injunctive relief.

The filing did not say how long the dividend and buyback pause could last or name the states involved.

Sources

1. Corteva, Inc. and EIDP, Inc., Form 8-K (Item 8.01), filed Oct. 13, 2026 (accession 0001193125-26-419637)

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