VIENNA, April 1 (Reuters) - Vienna-based fireproof

materials maker RHI Magnesita ( RMGNF ) plans to buy Resco

Group, a U.S.-based producer of alumina and refractories for an

enterprise value of up to $430 million, the companies said on

Monday.

RHI Magnesita ( RMGNF ) said in a statement the acquisition would

continue its growth in alumina-based refractories by providing

U.S. customers with an improved range of products. Refractories

are materials extremely resistant to heat and wear.

Resco recorded unaudited revenues of $252 million in 2023

with profit before tax of $20 million, RHI Magnesita ( RMGNF ) added.

Synergies will be created after restructuring the combined

supply chain. The process is expected to take about two years

and will create one-time costs of 60 million euros ($65

million), including restructuring at non-U.S. plants, the

company said.

The acquisition is subject to customary closing conditions

including merger control authority approval, and is expected to

be completed in the second half of this year.

The combined company would have 15 production sites across

the United States, Canada and Mexico, Resco said in a statement.

Resco is currently owned by Balmoral Funds, a

California-based private equity firm with about $1.5 billion of

assets under management, the companies said.

($1 = 0.9270 euros)

(Writing by Dave Graham; editing by Barbara Lewis)