PRINCETON, N.J., July 23 -- Rockwood Specialties Group, Inc.'s subsidiary, Rockwood Pigments (UK) Limited, has entered into a definitive agreement to acquire the Pigments and Dispersions business of Johnson Matthey Plc for approximately $50 million. The transaction, which is subject to regulatory clearance, is expected to close by the end of the third quarter and will be financed from existing external financing sources. The Pigments and Dispersions business is a leading producer of transparent iron oxide pigments and dispersions, color concentrates and complex inorganic color pigments servicing the surface and wood coatings, plastics, building materials and printing inks markets. The business has 280 employees worldwide and annual sales of approximately $70 million. Seifi Ghasemi, Rockwood Chairman and C.E.O., said, "This acquisition is an important addition to our global pigments business and demonstrates Rockwood's ongoing commitment to the creation of a world-class global specialty chemicals company." The acquisition includes manufacturing facilities in Kidsgrove, U.K., Sudbury, U.K., and Braeside, Victoria, Australia, as well as sales offices in other parts of the world. According to Ronald Rapaport, Managing Director of Rockwood Pigments Division, "We are very excited to acquire this highly regarded business and to expand our technology base and range of pigments and dispersions for our worldwide customer base. The business brings a motivated, experienced team to our organization and will be managed by Andrew Ross, Managing Director of Rockwood Pigments Europe/Asia Pacific."