"This transaction reflects our ongoing commitment to actively and continuously refine our portfolio as we focus Albemarle on its core, growth-oriented business segments," CEO Kent Masters said.

The company recently tipped lithium demand to grow and raised $1.5 billion in February to fund capital growth projects, focused on accelerating high-return growth projects in lithium and bromine. 

Grace said the FCS acquisition would strengthen and expand its existing pharma portfolio.

Albemarle had reported December quarter adjusted EBITDA for FCS of $18.4 million, compared with $122.1 million for its lithium segment, $87.9 million for bromine and $22.1 million for catalysts.

The transaction was expected to close in the second quarter.

Dividend, redemption

Albemarle separately declared a quarterly dividend of 39c per share, marking the 27th consecutive year of raising its dividend.

It also announced two cash tender offers, of up to US$100 million and €100 million, and said it would redeem all its outstanding 1.875% senior notes due 2021 and its outstanding floating rate notes due 2022.

Albemarle shares (NYSE: ALB) have ranged from $48.89-$188.35 over the past year.

They closed down 2.78% yesterday to $152.95, capitalising it at $17.8 billion.