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UPDATE 1-Chemical firm Lanxess buys U.S.-based Emerald Kalama in $1.1 billion deal

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* Target company has enterprise value of $1.08 bln

* Boosts its position in preservatives, animal nutrition

* Lanxess says deal to be EPS accretive in the first year

* Sees synergies adding $30 mln to EBITDA within 3 years(Adds dateline, details from ad hoc, press release)

FRANKFURT, Feb 14 (Reuters) - German chemical companyLanxess is buying U.S.-based Emerald Kalama Chemicalfor an enterprise value of about $1.08 billion to strengthen itsconsumer business.

The acquisition was announced on Sunday by Lanxess whichsaid it would be financed by its existing liquidity. The deal isexpected to close in the second half of this year subject toapproval by the relevant authorities, the German firm added.

Emerald is a specialty chemicals company whose productsinclude food preservatives, household and cosmetic applications,flavours and fragrances, as well as plastics and adhesives forindustry. Lanxess is buying it from affiliates of private equityfirm American Securities LLC.

"By acquiring Emerald Kalama Chemical, Lanxess strengthensits specialty chemical portfolio, especially in the consumerprotection segment, and would materially expand into the growthmarkets of food and animal nutrition," it said.

Emerald Kalama employs around 500 employees and runs threeproduction sites in Kalama in the U.S. state of Washington,Rotterdam in the Netherlands, and Widnes in Britain.

The company reported 2020 sales of around $425 million andearnings before interest taxes depreciation and amortisation(EBITDA) before exceptionals of around $90 million.

Around 45% of its turnover is generated in North America.

Lanxess said the acquisition would be earnings-per-shareaccretive in the first fiscal year after its completion. Withinthree years following completion it expects synergies, or costsavings, to generate an additional $30 million in annual EBITDA.(Reporting by Derek Francis in Bengaluru and Vera Eckert inFrankfurt; editing by Jonathan Oatis and Pravin Char)