Mineral Technologies (MTX) said it agreed to buy rival AMCOL International (ACO) for $1.7 billion in cash, or $45.75 per share.
The two mineral companies, global producers of precipitated calcium carbonate (PCC) and bentonite, said the deal was approved unanimously by both boards of directors.
AMCOL said it was terminating its previous merger agreement, for $45.25 per share, with French mineral company IMERYS. The termination fee paid to IMERYS is expected to be $39 million, according to Mineral Technologies.
Minerals Technologies said the transaction is expected to be immediately accretive to earnings upon closing, excluding acquisition-related costs and charges.
In late morning trade, MTX was up 2.76% to $55.91 and ACO was down 2.06% to $45.70.
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