Flotek Buys Florida Chemical

Oil-field chemical firm Flotek has acquired Florida Chemical Co., a maker of citrus oils, for $45 million in cash and Flotek stock worth $55 million. Florida Chemical extracts citrus oils from by-products generated by the orange juice industry. It sells products to customers for use in cleaners, solvents, flavors, and fragrances. It also supplies citrus oil to companies like Flotek for oil and gas drilling applications. In 2012, Florida Chemical made $8.8 million in net income on $102.7 million in sales. Flotek says the two firms will combine research teams to develop renewable and sustainable chemicals for the oil-field industry.