THE ICI Synetix business at Billingham looks set to be sold for about £250m with an announcement believed to be made sometime this week.

Reports yesterday said that Johnson Matthey is set to buy Synetix to add to its growing catalysts and chemicals division.

Synetix was put up for sale in January as part of the chemical group's efforts to reduce its debts. It employs about 800 people.

A spokesman for ICI said: "The company will not confirm or deny the story."

Synetix makes catalysts mainly for the petro-chemicals industry, where its products are used in refining. Its turnover last year was £143m.

Johnson Matthey, with sales from catalysts and chemicals last year of £1.3bn, already has a larger market share than ICI and has been hunting for acquisitions.

It is understood that Johnson Matthey and ICI Synetix hope to unveil the deal early this week.

Nobody from Johnson Matthey was available for comment yesterday.