OMNOVA Buys New Fluid

(RTTNews) - Specialty chemicals company OMNOVA Solutions Inc (OMN) on Thursday said it has acquired New Fluid Solutions Inc, a producer of oil & gas drilling fluid additives and other products based in Houston, Texas. OMNOVA paid $5 million up front, plus up to an additional $2 million over the next two years with a performance-related component.

OMNOVA expects the transaction to be neutral to earnings in 2015 and slightly accretive in 2016 before modest cost synergies and significant revenue synergies.

New Fluid Solutions was founded in 2004 by Mano Shaarpour and had sales in 2014 of about $6 million and EBITDA of about $0.7 million.