Expansions, acquisitions part of resin distribution news

North American resin distributors have stayed busy with expansions, acquisitions and new line card items in the last year.

In April, Formerra LLC of Romeoville, Ill., made a deal of its own less than six months after finding a new owner. Formerra acquired Irish materials supplier Total Polymer Solutions for an undisclosed price.

Formerra had worked with TPS of Dublin for more than a decade. TPS sells into Ireland, the United Kingdom and other parts of Europe, serving manufacturing operations of multinational health care customers.

TPS was launched in 2002 and distributes a wide range of resins, compounds, concentrates and thermoplastic elastomers. The acquisition "will enable Formerra to strengthen its global health care distribution platform while building on both companies' shared capabilities around rapid product development, innovation, and regulatory support," CEO Cathy Dodd said in a news release at the time.

In a statement to Plastics News, Formerra officials said Ireland has developed as "an attractive location" for many multinational health care device OEMs and their supply chains. Formerra officials said the firm "will continue to pursue acquisitions that provide us with additional exposure to attractive end markets like health care and that broaden our geographic footprint."

Miami-based HIG Capital acquired Formerra — the former Avient Corp. resin distribution unit — in late 2022. Formerra distributes resin and compounds for 21 suppliers, including Dow Inc., BASF and LyondellBasell Industries.

In mid-2022, materials distributor and recycler Jamplast Inc. moved into a larger site in Mount Vernon, Ind. Ellisville, Mo.-based Jamplast had operated a 64,000-square-foot site in Mount Vernon but now occupies a 95,000-square-foot location 5 miles away. The move allowed the firm to install five new pieces of equipment, including shredders and granulators, President Michael Bernich said.

Operations at the new location include material dry blending, metal separation, shredding, grinding and custom packaging. The new site also has 200,000 square feet of outdoor space for storage or future expansion.

Earlier this year, global distribution firm Vinmar International Ltd. acquired controlling interest in Syncot Plastics LLC, a recycler based in Belmont, N.C. Officials with Houston-based Vinmar said Syncot is "an innovative leader" in recycling post-industrial and post-consumer nylon, polypropylene and polyethylene into a high-quality product.

They added that Syncot has done recycling in North Carolina and Georgia for almost 30 years. Darren Bing will remain president of Syncot, with his sister Sharon Bing continuing as vice president. The second-generation owners also will remain shareholders.

Vinmar CEO Vishal Goradia added that his firm "is grateful to the Bings and the Syncot team for their trust and are motivated to grow our recycling activities in the U.S." He said the acquisition "demonstrates our firm commitment to tangible solutions for sustainability and circular economy."

The deal is Vinmar's second plastics recycling acquisition in less than a year. In 2022, the firm bought Green World Compounding of Spain.

Vinmar followed up the Syncot deal by partnering with Verde Bioresins Inc. to expand its sustainable materials lineup. Vinmar recently began distributing Verde's PolyEarthylene-brand bioplastics in North America. Los Angeles-based Verde has made its materials at a plant in Fullerton, Calif., since 2019.

Verde uses a combination of bio-based feedstocks and combines those materials with polyethylene, polypropylene or other resins. To date, the materials have been used in applications such as film and thermoforming for food packaging.

Vinmar President Kirt Dmytruk said his firm has seen an increase in requests for sustainable materials from its customers. "Sustainability is one of our core values," he added. The Verde partnership "is an opportunity for us to partner with a unique product in a growing market."

Nickel City Polymers Inc. has added several types of reprocessed material to its product line in the last year. Buffalo, N.Y.-based Nickel City now offers high-impact polystyrene (HIPS), copolymer polypropylene and ABS in reprocessed black pellets. The firm also now provides HIPS and copolymer PP in reprocessed natural pellets.

Nickel City already offers a wide range of engineering-grade nylon and acetal grades. Larry Welnowski founded Nickel City in 2003. In addition to nylon and acetal, the firm supplies several grades of polycarbonate, ABS and other engineering resins.

In addition to distribution and compounding, Nickel City buys and sells recycled material in scrap or regrind form. Primary end markets for the firm include nonautomotive industrial, such as gears and furniture.

MGI International in October 2022 launched Aspect Co., a distribution unit focused exclusively on sustainable resins. Aspect's product line includes bio-based, bio-attributed, compostable and recycled resins.

MGI CEO Marco Liuzzo said that "at the end of the day, we take sustainability seriously. …The future is definitely going to be sustainable." Chet Errico, Aspect business development director, said the main focus of the new unit will be "understanding what our customers' sustainability goals are."

"By knowing what their goals are, we can help them find the right material, whether it's bio-based or recycled content," added Errico, who previously worked for the sustainable polyethylene business of Braskem Americas.

• M. Holland Co. expanding its presence in Europe through a partnership with Febo SpA. Under the agreement, Febo — based in Pestoia, Italy — will have distribution rights for M. Holland's Mtegrity-brand certified prime resins in Italy, Greece and the Balkans. The deal initially will focus on polyethylene resins.

Officials with M. Holland in Northbrook, Ill., said the partnership with Febo extends their firm's commercial reach in Europe. It's M. Holland's second European distribution partnership and its first since 2020, when it linked up with JL Goor Materials of Dublin for distribution in Ireland and the United Kingdom.

M. Holland also now is handling post-consumer recycled resins produced by Lavergne Inc. The move gives M. Holland clients access to Lavergne resins "with increased supply chain security and pricing stability," officials said. Montreal-based Lavergne has recycled resin manufacturing sites in Canada, Belgium, Vietnam and Haiti.

"Sustainability is a primary focus for the plastics industry, and the demand for [post-consumer] resins has accelerated in recent years," Samantha Stone, global sourcing leader, sustainability, at M. Holland, said in a statement. "Our partnership with Lavergne will help meet the demand for PCR resins for our clients in North America."

• Clarkston, Mich.-based Chase Plastic Services Inc. formed a supplier partnership with global thermoplastic elastomer maker Elastron of Gebze, Turkey. Chase will distribute Elastron's Elastron V product portfolio of thermoplastic vulcanizates.

Chase officials said that, as a leading North American distributor of TPEs, the Elastron V product line rounds out their firm's TPE product offering with a high-quality TPV. Elastron serves the North American market from a plant in Gainesville, Ga. Elastron V TPVs are used in several markets, including automotive, medical, consumer and construction.

• Nexeo Plastics grew its partnership with specialty compounder Teknor Apex Co. On Jan. 1, Nexeo began distribution of Teknor Apex's Sarlink- and Monprene-brand TPEs in Europe. The agreement includes specialty adhesion-modified grades for multishot molding onto a wide variety of engineering resins.

Sarlink TPVs are used in sealing applications that require elasticity and long-term performance in automotive, industrial, consumer, and building and construction markets. Styrenic-based Sarlink grades provide automotive OEMs with more design flexibility and colorability for interiors. Monprene TPEs have a broad thermal performance and are used in consumer products, industrial applications and packaging, including food-contact applications.

Teknor Apex, based in Providence, R.I., is one of North America's 30 largest compounders and concentrate makers. The firm operates 13 plants worldwide and has annual sales of more than $1 billion.

• In late 2022, Conventus Polymers LLC was named an authorized distributor of high-performance engineering thermoplastic resins in the U.S., Canada and Mexico for materials firm Sabic. In that role, Conventus of Parsippany, N.J., will provide Sabic customers with products from the firm's specialties business, including Ultem-brand polyetherimide resins and LNP-brand engineering resin compounds.

Officials said Conventus offers technical expertise and strong relationships with key OEMs in water management, energy, electrical and electronics, health care and other industries. Conventus President John Jorgensen added that his firm and Sabic "share a similar vision for specialty plastics and bring complementary expertise and perspective to the table." Sabic's high-heat materials "add a new dimension to our portfolio and support our goal of further expanding in target markets," he said.

Conventus joins Nexeo, Chase and Amco Polymers as authorized distributors of Sabic's specialty materials.

PolySource of Overland Park, Kan., recently began offering liquid crystal polymers (LCPs) from Polyplastics. Officials said the materials have long flow length and minimal flash characteristics and are ideal for connectors and other very thin wall parts.

• Formerra has been involved in a pair of recent line card moves. PureCycle Technologies named Formerra its primary North American distributor for its PureFive recycled polypropylene. "Our customers will now have a game-changing solution to help them meet their environmental sustainability goals," Formerra's Dodd said.

PureCycle recently opened its first production line in Ironton, Ohio. The firm's resin is expected to be available to Formerra customers as soon as the fourth quarter of 2023.

Formerra also is distributing bioplastic materials for Danimer Scientific. Nodax-brand polyhydroxyalkanoate (PHA) resins made by Bainbridge, Ga.-based Danimer are used in cups, straws, lids, food containers and other single-use items. Nodax PHA is made from plant oils using a natural fermentation process. The material is biodegradable in both soil and marine environments.

• General Polymers recently added specialty nylon resins — including 11, 12 and 6/12 grades — from Nycoa Corp. to its lineup. GP also is supplying thermoplastic polyurethane materials made by Great Eastern Resins.

Do you have an opinion about this story? Do you have some thoughts you'd like to share with our readers? Plastics News would love to hear from you. Email your letter to Editor at [email protected]

Please enter a valid email address.

Please enter your email address.

Please verify captcha.

Please select at least one newsletter to subscribe.

Find more newsletters at plasticsnews.com/newsletters.You can unsubscribe at any time through links in these emails. For more information, see our Privacy Policy.

View the discussion thread.