In a massive deal affecting North American resin distribution, Ravago Group has acquired a majority stake in M. Holland Co. for an undisclosed price.
Ravago already ranks as the region's largest resin distributor. Northbrook, Ill.-based M. Holland is one of the five largest, according to industry estimates.
M. Holland officials said that the transaction "will enable [the firm] to accelerate its growth strategy, providing the company with greater scale and resources as the plastics industry continues to rapidly evolve."
The founding Holland family will retain "a significant stake" in the firm. No other financial terms were disclosed.
After the transaction closes, M. Holland will continue to operate independently as a subsidiary of Ravago Group. M. Holland's existing management team — including CEO and Chairman Ed Holland and President and Chief Operating Officer Marc Fern — will continue to lead the company.
Ed Holland said that the transaction "is an important inflection point … as it places the company on a clear path to continued and long-term success."
"Following an exhaustive review of strategic paths, we determined the best way to serve our stakeholders and set up M. Holland for success over the next 70 years was to partner with an organization that shared our passion for employees, customers and suppliers," he added. "Ravago Group is that partner."
Ed Holland also said that the deal "is a rare opportunity for two strong, family-owned organizations to come together in a way that will ensure our customers get what they need, when they need it for years to come."
Ravago Holdings America President and CEO Jim Duffy said that M. Holland "is a well-known and respected name in the plastics industry, and we are thrilled to welcome Ed and his entire team to the Ravago Group family of companies."
"We are confident we will be able to provide M. Holland with the resources and capital necessary to scale the business and sustain its growth, all the while maintaining its strong culture and brand," Duffy added.
M. Holland's Fern said that the combination "is an exciting moment" for his firm.