Petrochemicals and pipe maker Mexichem wil acquire Dura-Line Corporation from CHS Capital for a total of US$630 million in cash and assumed liabilities, advancing Mexichem’s strategy of global growth in high-end speciality products.

The acquisition is Mexichem’s second major foray into international markets recently. It is also buying German PVC paste producer Vestolit from investment company Strategic Value Partners (SVP Global) for EUR219 million.

Based in Knoxville, Tennessee, US, Dura-Line is a global leader in high-density polyethylene (HDPE) conduit, duct and pressure-pipe solutions for telecom and data communications, energy and infrastructure industries. Dura-Line has manufacturing facilities in North America, India, Oman, Europe, and South Africa.

“The acquisition of Dura-Line will be a further step in our strategy of becoming a global, vertically integrated chemical company with a focus on high-end specialized products and solutions,” said Antonio Carrillo, CEO of Mexichem. “Dura-Line’s technological expertise and leading market position in telecom, data communications and energy piping, including its portfolio of blue-chip customers, will allow us to expand in these fast-growing segments across our global operations. Dura-Line’s international footprint will allow our Integral Solutions business to increase penetration in key markets, and will also provide a platform for growth in new geographies for all of Mexichem’s products.”

The transaction is subject to regulatory approvals and is expected to close by the end of the third quarter of 2014. Once the transaction has closed, Mexichem will consolidate Dura-Line under the company’s Integral Solutions chain for accounting purposes. Dura-Line will continue to operate under its current management and with its existing brand portfolio.

“We are pleased to become part of Mexichem’s global team. Joining an organization with Mexichem’s scale will provide strong support for our existing operations and brands, and will enhance the future growth of the business,” said Paresh Chari, CEO of Dura-Line.