COVINGTON, Ky. (AP) -- Specialty chemical maker Ashland Inc. said Thursday it will form a 50-50 joint venture to produce foundry chemicals with Germany's Sud-Chemie AG.
The venture, ASK Chemicals GmbH, will be headquartered in Germany. Sud-Chemie will manage operations of the venture, which the companies said will employ about 1,300 people.
Sud-Chemie and Ashland are already partners in Ashland-Sudchemie-Kernfest GmbH, started in 1970. That company will form one of three parts in the new joint venture, with others being Sud-Chemie's specialty resins business and Ashland's casting unit.
The deal is expected to close near the end of the year.
Shares of Ashland fell 84 cents to $47.89 in midday trading.