Hindujas set to acquire US chemicals firm Houghton for $1.1 billion

The Hinduja group is close to acquiring US-based oils and chemical company, Houghton International, for around $1.1 billion after the group reportedly bid the highest for the Pennsylvania-based company.

The deal is expected to be announced shortly as most of the terms had been agreed upon between the two parties, reports quoting Hinduja officials said.

"We are awaiting an announcement as some last-minute negotiations are going on," a newspaper report quoted the official as saying.

Houghton International, owned by private equity firm AEA Investors, is a leading manufacturer of hydraulic fuels, rust preventatives and lubricants for the automotive and steel sectors.

The acquisition of Houghton with manufacturing plants around the world would be the largest-ever foreign acquisition by an Indian company this year after Hyderabad-based Rain Commodities announced the takeover of German speciality firm Rutgers for $917 million.

For Hindujas, which have a presence around the globe, employing over 40,000 people, this would be its the group's largest acquisition overseas.