Well-established provider of custom colour formulations, pigment solutions, and masterbatch products, generating recurring revenue with high customer stickiness, serving the plastics manufacturing industry across a diverse range of end markets including packaging, consumer products, and industrial applications.
The business operates as a trusted technical partner to its customers, delivering precise, application-specific colour solutions that are embedded into client production processes, resulting in strong repeat revenue and long-term customer relationships.
Ideal for a strategic buyer in plastics, compounding, or specialty chemicals seeking a technically differentiated platform with recurring revenue, strong customer retention, and meaningful organic growth potential.
Highlights
- Revenue: ~$4.3M
- Adjusted EBITDA: ~$560K (~13% margin)
- Highly recurring revenue with a long-tenured customer base
- High switching costs due to custom formulations integrated into customer production
- Strong reputation with many customers spanning 20+ years
- Lean, efficient operation with direct-to-customer relationships
- Only ~24% of production capacity utilized (significant growth runway)
Opportunity
Significant upside through:
- Expanding sales and marketing efforts (currently relationship-driven, minimal formal sales function)
- Increasing utilization of existing production capacity without major capex
- Expanding into adjacent product lines (additives, specialty compounds, engineered polymers)
- Leveraging technical capabilities into new customer segments and geographies
