June 20 (Reuters) - British food ingredients maker Tate

& Lyle ( TATYF ) has entered into an agreement to buy U.S.-based

CP Kelco for $1.8 billion from J.M. Huber Corporation, the

company said on Thursday, as it seeks to strengthen its

speciality food and beverage solutions businesses.

The proposed transaction is expected to drive revenue growth

and an improvement in adjusted core-profit margin over the next

few years, the sweetener maker said.

CP Kelco is a provider of pectin, speciality gums and other

nature-based ingredients.

Tate, one of the world's biggest producers of sweeteners,

expects the deal to be accretive to it's adjusted earnings per

share, including cost synergies, in the second full financial

year following completion of the deal, and strongly accretive

thereafter.

The transaction is expected to close in the fourth quarter

of this year.