Praxair has secured a deal to acquire Yara International ASA’s European CO2 business – which enhances the Tier One company’s CO2 offering in Europe.

The proposed transaction also includes Praxair’s acquisition of Yara’s remaining 34% stake in the Yara Praxair Holding AS industrial gas joint venture in Scandinavia. The investment for both transactions is expected to be €312m ($353m).

In 2014, Yara’s European CO2 business sold approximately 850,000 metric tonnes of liquid CO2 and 50,000 metric tonnes of dry ice primarily to the food and beverage industries, and generated revenues of €112m. The business operates five CO2 liquefaction plants, three large CO2 shipping vessels, seven shipping terminals and six dry ice production facilities across the UK, Ireland, Scandinavia, Northern Europe and Italy.

The Yara Praxair Holding AS joint venture, operating in Scandinavia and formed in 2007, had 2014 revenues of €145m.

“Praxair is committed to growth and this proposed acquisition aligns with our core business strategy of building density in targeted geographies where we can achieve synergies. Additionally, this business will be a positive addition to our portfolio by enhancing our presence in non-cyclical segments such as food and beverage,” said Steve Angel, Chairman and CEO of Praxair.

“Yara’s European CO2 business has high-quality assets that will complement Praxair’s industrial gases business in Europe.”

“The acquisition of Yara’s remaining share of the joint venture in Scandinavia concludes a successful partnership,” added Angel.

“Praxair continues its strong collaboration with Yara on this transaction and other projects such as the one recently announced in Freeport, Texas. We look forward to welcoming Yara’s European CO2 business employees to Praxair and working with the customers and suppliers of the business.”

The proposed transaction is conditional upon completion of definitive agreements, obtaining necessary regulatory approvals and clearances, and other customary conditions. The transaction is currently expected to close during the first quarter of 2016.