Nouryon has entered into an agreement to buy J.M. Huber’s carboxymethyl cellulose (CMC) business, continuing its plans to accelerate growth.

The transaction includes a manufacturing plant and an advanced R&D facility in Äänekoski, Finland. Around 240 employees will transfer to Nouryon on completion, which is expected in the second quarter of 2020, subject to regulatory approvals.

The Dutch specialty chemicals company said the deal will significantly broaden its portfolio of CMC products. CMC is a bio-based water-soluble polymer used as a thickener, binder, stabilizer and film former. J.M. Huber’s business produces a complete line of CMC grades and generates sales of about €135 million from customers in more than 80 countries.

“With an expansive range of products that complements our existing CMC portfolio, this business will allow us to offer our current and future customers a significantly broader set of solutions,” said Nouryon chairman and CEO Charlie Shaver. “This acquisition also confirms our commitment to investing in sustainable growth platforms.

The companies have largely complementary positions in CMC end markets, which include home and personal care, mining, food, pharmaceuticals, and paper and packaging.

Last month, Huber company CP Kelco sold its CMC plant in Taixing, China, to Hansstar Taizhou Textural Ingredients Co. Ltd.

In separate news, Nouryon said its solid financial performance last year has enabled it to successfully reprice its euro and US dollar term loans, reducing its annual interest payments by some €18.5 million.

Nouryon’s chief financial officer Renier Vree said there was a high level of interest from lenders, reflecting the company’s strong cash generation and growth in EBITDA.

“We will continue to look at ways to reduce our leverage while maintaining ample liquidity. We will also continue to invest in attractive capacity expansions and selected bolt-on acquisitions to support the growth of our customers,” Vree added.