According to the terms of a recent agreement with American chemical biggie Dow Chemical Co, the French chemicals specialist Arkema will acquire some of Dow Chemical's acrylates and latex assets in North America.

Arkema, which Monday posted a 114 million euros net loss in its second-quarter, said that the US$50 million deal allows the company to take over Dow Chemical's acrylic acid and esters plant in Clear Lake, Texas; as well as its UCAR Emulsion Systems specialty latex businesses in North America.

Commenting on the deal with Dow Chemical, which is subject to approval from the US Federal Trade Commission (FTC), Arkema CEO Thierry Le Henaff said that the acquisition was completely "in line with" the company's commitment to expand its best product lines and enhance its downstream integration.

From the point of view of Dow Chemical, the deal with Arkema will help it de-leverage and sell its non-core assets. A Dow spokesman said: "The purchase price for these assets represents full value, based on 2009 earnings before interest, tax, depreciation and amortization which is projected to be negative by approximately $20 million.

Thus, the sale is immediately accretive to Dow shareholders."

The two companies will, before long, be assessing the projected transaction with FTC authorities, and the deal will likely close in this year's fourth quarter.