New York, January 29 (FinanceEnquiry.com) - Specialty chemical maker, Eastman Chemical (NYSE: EMN), has agreed to acquire rival Solutia Inc (NYSE: SOA) for $3.4 billion. The chemical company that was spun off from Kodak in 1993 is trying to make its presence felt in emerging markets, such as China, notwithstanding the warning by DuPont this week that Asian demand is likely to drop sharply.

The tactical move to acquire Solutia could be a good strategy because it manufactures rubber adhesive for car tires and coatings for glass panels used in replacement auto windshields and buildings which could provide a solid consolidation with Eastman