(Corrects paragraph 6 to say One Equity had bought Vacuumschmelze in 2005 for $529 million, not $520 million)
July 5 (Reuters) - Specialty chemicals maker OM Group Inc is making a push into Europe with the acquisition of German magnetic materials maker Vacuumschmelze GmbH & Co KG for 700 million euros from One Equity Partners.
Separately, One Equity Partners, the private investment arm of JPMorgan Chase & Co , said the deal is valued at about $1 billion.
OM group expects the deal, which includes $50 million in equity, to add to earnings in the current fiscal year with the exception of one-time items.
Cleveland, Ohio-based OM Group will fund the deal with cash, stock and committed financing, the company said in a statement.
The company expects to close the deal by the end of the third quarter and plans to keep Vacuumschmelze's current management team in place.
One Equity Partners had bought Vacuumschmelze from Morgan Crucible Co Plc for $529 million, including debt, in December 2005.
Founded in 1923, Vacuumschmelze -- with production facilities in Germany, Slovakia, Finland, China and Malaysia -- reported revenue of about 389 million euros and an operating profit of 54 million euros for the fiscal year ended March 31, 2011. (Reporting by Tenzin Dekeva in Bangalore; Editing by David Holmes and Gopakumar Warrier)