According to Associated Press reporting, commercial and industrial chemical products company Zep Inc. is being taken private in a $692 million deal including assumed debt to the private equity firm New Mountain Capital.

Under the deal, Zep shareholders will receive $20.05 in cash per share, a 17.3 percent premium over Zep's closing price of $17.09 on Tuesday. The amount being paid for the stock is about $462 million. The total value of the deal includes net debt being assumed by the buyer.

The deal is expected to close in the third calendar quarter of 2015.

Meanwhile, the company swung to a fiscal second-quarter profit of $162,000, or 1 cent per share, on revenue of $160.1 million.

Shares of Atlanta-based Zep jumped $2.98, or 17.4 percent, to $20.08 in morning trading. Its shares have risen more than 10 percent over the past year.