Materion Corporation (NYSE: MTRN), a world leader in high performing advanced materials, has completed its previously announced acquisition of H.C. Starck Solutions’ industry-leading electronic materials business, located in Newton, Massachusetts. HCS-Electronic Materials utilizes proprietary technology and extensive material science know-how to deliver tantalum- and niobium-based premium products and services for the semiconductor, industrial, and aerospace & defense markets.

Building on Materion’s existing portfolio of electronic materials and premium thin film target solutions, the acquisition significantly enhances the company’s position as a leading global supplier to the high-growth semiconductor industry.

“HCS-Electronic Materials is a highly strategic and transformative addition that significantly extends our global reach and expands our position with leading semiconductor chip manufacturers, as well as top industrial and aerospace and defense customers,” Materion President and CEO Jugal Vijayvargiya said. “This acquisition is expected to provide compelling growth opportunities while accelerating our transformation into a leading provider of advanced materials solutions to global, high-tech markets. We are excited about the opportunities ahead and we welcome the highly-skilled team members of HCS-Electronics Materials to the Materion family.”

HCS-Electronic Materials is expected to generate revenues of approximately $145 million and adjusted EBITDA of approximately $29 million in 2021. On an annual basis, this would add 19% to Materion’s Value-Added Sales and adjusted EBITDA of approximately $29 million, which would represent an adjusted EBITDA margin of approximately 20%. The acquisition is expected to be immediately accretive to adjusted EBITDA margin and adjusted EPS.

On the closing date, Materion acquired HCS-Electronic Materials by way of a stock purchase for an aggregate purchase price of $380 million in cash, on a cash-free, debt-free basis. The purchase price is subject to certain customary purchase price adjustments for working capital and other transaction-related items.