Praxair Distribution, Inc. (PDI), a subsidiary of Praxair, Inc., announced its two joint venture companies operating in the southeastern U.S. have merged. Financial terms of the transaction were not disclosed.
The transaction involves merging Praxair Distribution Southeast, LLC (PDSE), a PDI joint venture operating in Florida and southeast Georgia since 1997, into Memphis, Tennessee- based nexAir, LLC (nexAir), a 75-year old company which entered into a joint venture with PDI in 2012, with locations in Alabama, Arkansas, Georgia, Louisiana, Mississippi and Tennessee. nexAir will grow to have annual sales of more than $200 million and 67 locations with the merger, adding coverage throughout the state of Florida. Its existing senior management team will continue to lead the combined business.
‘Both the PDSE and nexAir businesses have been very successful partnerships for PDI in the southeast and it makes sense to now combine them. It will allow us to streamline and simplify our management processes and improve customer focus and clarity around PDI’s channel strategy. Together we will provide a stronger network of services and capabilities throughout the region,’ said Scott Kaltrider, president Praxair Distribution, Inc.
The separation is expected to be completed by early Q3, following the receipt of all relevant approvals, including final Board approval. Nouryon intends to reduce its own debt with proceeds received from a planned external financing by Nobian.
Trinseo became a producer of the resin when it acquired Arkema’s PMMA business. It announced that it closed on the €1.14bn deal earlier this month.
As part of the EU’s Single-Use Plastic Directive (SUPD), it will become mandatory for caps and lids to remain attached to all beverage containers up to three liters in capacity from 2024.