KINGSPORT, TN – Eastman Chemical Co. announced it will acquire Taminco Corp., a global specialty chemical firm for $2.8 billion.The transaction is expected to be finalized by the end of the year.

The definitive agreement between the two firms was announced Sept. 11. Eastman said the acquisition will be funded with available cash and debt financing, and the total transaction value includes net assumed debt of $1 billion. 

“The acquisition of Taminco demonstrates Eastman’s continued commitment to accelerating growth throughout the company and around the globe,” said Mark Costa, Eastman chairman and CEO. “As a specialty chemical company with consistent earnings growth and leading positions in attractive niche end markets, Taminco is a strong fit with Eastman’s strategic focus. Taminco will add an attractive alkylamines stream to our chemical portfolio.”

"We believe this transaction marks the beginning of an exciting new chapter for Taminco, our employees, customers and the communities we serve, while providing immediate value to our shareholders at a premium to our share price," said Taminco CEO Laurent Lenoir. "The opportunity to be acquired by Eastman will provide us with greater resources to pursue our ongoing long-term strategy of expansion into key markets and leveraging our existing skill set to expand into attractive new product lines."

A leading producer of alkylamines and derivatives, as well as formic acids and derivatives, Taminco's (NYSE:TAM) products are used in the agriculture and coatings markets, as well as for personal care and fuel industries. Along with corporate offices based in Allentown, PA, the company currently operates in 23 countries and has eight production facilities.

Eastman (NYSE:EMN) posted 2013 revenues of approximately $9.4 billion. A global specialty chemicals firm, the company is headquartered in Kingsport, TN and employs approximately 14,000 people around the world.