Industrial material providers Fairmount Santrol Holdings Inc. (NYSE: FMSA) and Unimin Corp. have agreed to merge in a $170 million deal. Unimin is a subsidiary of SCR-Sibelco NV, which will end up own a majority stake of the new combined company.

“Together we will serve our customers more efficiently and effectively with a broader and more diverse product offering, greater technical expertise, improved scale and geographic diversity and an expanded logistics platform,” says Fairmount CEO Jenniffer Deckard, who is expected to remain in her role. The new company will operate a logistics division that will consist of 96 distribution terminals and a 18-unit train. In another recent industrial manufacturing deal, Norwest Equity Partners has invested in Ramsey Industries Inc., a U.S. producer of service cranes and winch tools.

Fairmount, located in Chesterland, Ohio, distributes sand-based products for the oil and gas and industrial sectors. New Canaan-based Unimin makes coatings and chemicals, serving the construction, industrial and energy sectors. Sibelco produces non-metallic materials, such as clay, for the same sectors. The latter is headquartered in Antwerp, Belgium.

After the deal closes, Sibelco will own 65 percent of the combined company while Fairmount will have 35 percent. The merger does not include Unimin’s high-purity quartz business, that mostly serves electronics manufacturers in Asia. The combined company is expected to have around $2 billion in annual revenue and about $400 million in Ebitda.

Wells Fargo Securities (NYSE: WFC) and Jones Day are advising Fairmount. Morgan Stanley, Freshfields Bruckhaus Deringer and Hughes Hubbard and are advising Sibelco. Barclays and BNP Paribas are also advising Sibelco.