LONDON - The French industrial materials company Imerys has raised its offer for the second time in less than a month as it seeks to acquire Amcol International.
In an announcement late Tuesday, Imerys said that it is now willing to pay $45.25 a share in cash to acquire all the outstanding shares of Amcol, the Illinois-based producer of specialty minerals and materials. Imerys originally agreed to pay $41 a share on Feb. 11 and revised its offer to $42.75 a share last week.
The revised offer values Amcol at about $1.7 billion, including the assumption of debt.
The deal is expected to complement Imerys’s existing business of providing minerals and specialty materials like ceramics to industry and to expand its offerings to the oil and gas market. Amcol is a leading producer of bentonite, which is used in machine tooling, construction and drilling.
The combination “will create a clear leader in the industrial minerals sector with strong growth potential,†Gilles Michel, the chairman and chief executive of Imerys, said in a statement. He said the companies would “expand into new markets and deliver innovative new solutions for our customers.â€
The transaction is subject to regulatory approval and is expected to close in the first half of 2014. The revised deal has been unanimously approved by the boards of directors of both companies.
Shareholders have until March 20 to accept the offer. Imerys plans to finance the transaction with debt and has secured financing.
Amcol, with a presence in 26 countries, posted revenue of more than $1 billion in 2013.
Imerys employs about 15,800 people in 50 countries and had revenue of 3.7 billion euros, or about $5.1 billion, last year.
