Nexeo distributes resins, compounds and concentrates for more than 20 suppliers, including ExxonMobil Chemical, LyondellBasell, BASF and DuPont.

The resin distribution market has been shaken up by WL Ross Holdings’ purchase of a majority stake in Nexeo Solutions in a deal worth almost $1.7bn (€1.5bn).

Texas-based Nexeo is a leading plastics and chemicals distributor, which employs 2,500 staff worldwide and posted sales of $3.9bn (€3.5bn) in the year ended 30 September.

New York-based WL Ross now plans to change its name to Nexeo Solutions and continue to be publicly traded on the Nasdaq stock exchange.

Nexeo distributes resins, compounds and concentrates for more than 20 suppliers, including ExxonMobil Chemical, LyondellBasell, BASF and DuPont.

The company was formed in 2010 when private equity firm TPG Capital of San Francisco bought the Ashland Distribution unit from Ashland for almost $1bn (€890m). TPG will retain a 35% stake in Nexeo.

WL Ross was formed in 2014 as a unit for making a major acquisition or merger. It is affiliated with private equity firm WL Ross & Co, which was founded by investor Wilbur Ross.

Ross will serve as chairman of the new Nexeo. Ross said that his firm “believes that Nexeo is an ideal platform to further roll up the fragmented chemicals and plastics distribution space.”

Ross' company is also the majority owner of International Automotive Components, a $5.9bn (€5.3bn) auto interiors global supplier, which is also the second largest injection moulder in North America and the 38th largest blow moulder in the region according to most recent ranking from Plastics News.

Nexeo’s management — including president and chief executive David Bradley — is expected to remain in place.