Eastman Chemical said it will acquire Solutia for $4.7 billion, including debt, to expand into the specialty plastics and chemicals market as well as the Asia-Pacific region.

The deal gives Solutia stockholders $22 per share and 0.12 shares in Eastman, or a total of $27.65, a 42 percent premium over Thursday's closing price of $19.51.

The Kingsport, Tenn., company is expanding into emerging markets and believes that buying the St. Louis, Mo., chemicals producer will lead to a compound annual growth rate of nearly 10 percent in the Asia-Pacific region.

Eastman's purchase represents 8.62 times earnings, excluding amortization, depreciation, interest and taxes, above the 7.73 average for specialty chemical transactions over the last decade, according to Bloomberg.

The addition of Solutia will broaden our geographic reach into emerging geographies, particularly Asia Pacific, establish a powerful combined platform with extensive organic growth opportunities, and expand our portfolio of sustainable products, all of which are consistent with our growth strategy, said Jim Rogers, chairman and chief executive officer of Eastman, in a statement.

Solutia emerged from bankruptcy in 2008 to become a mainstay producer in specialty plastics ranging from automotive uses to iPads, and laminated glass.

Solutia rose $8.12, or 41.6 percent, to $27.63 in premarket trading, while Eastman gained $3.88, or 8.2 percent, to $51.