How Colloids became a tier-one supplier to the world’s largest chemical companies
Colloids has evolved from a small, specialized manufacturer of masterbatches into a global industry leader. Now exporting its products worldwide, the company has become a trusted partner to some of the largest polymer and chemical firms across the globe.
CEO Russell Livesey, who took charge in 2006, has played a pivotal role in the company’s growth. “Since I joined, we’ve expanded into a profitable business with an annual turnover of £88 million,” Russell says. “This success is due to a combination of organic growth, green-field expansions, and strategic acquisitions.”
Today, Colloids operates not only from its UK base in Knowsley, Liverpool, where it has been since 1999, but also from two plants in Changshu, China, plus another facility in Houston, Texas. “We’ve also broadened our portfolio through the acquisition of two complementary businesses: P.W. Hall, which specializes in the development and manufacture of thermoplastic masterbatches for wire and cable for the electrification market, and PMB, which is a leader in the manufacture and supply of color masterbatches primarily for injection molding applications, supplying to the largest fast moving consumer good (FMCG) and industrial markets.”
These acquisitions have allowed Colloids to diversify its offerings. While PMB focuses on producing smaller batches with quick turnaround times needed by this FMCG market, Colloids concentrates on engineering materials for highly specialized products, such as the blue and yellow polyethylene pipe masterbatch widely used around the world. “These products have strict requirements,” Russell explains. “They must be weather-resistant and remain stable against ultraviolet light, be able to withstand even the harshest of environments, be easily fusion welded, while also ensuring the medium it is transporting, whether it is drinking water or gases, remain uncontaminated and safe. Additionally, they need to ensure the protection provided by the formulations enables the pipes to remain in constant operation for at least 100 years.”
Russell highlights that Colloids’ focus on challenging and technical markets as well as on quality whilst exceeding its customers’ expectations sets it apart from its competitors. “We work closely with OEMs and integrated chemical compounders – some of the biggest names in plastics and chemicals. By doing so, we have earned their trust, which requires us to maintain rigorous quality standards, because those types of companies tend to be far more scrupulous in what they require from a business.”
Staying ahead of industry trends for a business like Colloids requires extensive research and development. “In the past decade, we have invested significantly in environmental initiatives, such as using recycled materials, sustainable fillers, and biopolymers. For example, we have introduced a product that uses waste coffee beans as a polymer filler,” Russell notes.
Another area of innovation involves transforming insulating plastics into conductive and semi-conductive materials, which improve thermal management for applications like batteries, electrical motors, electronic and computer components. “We are also funding a PhD at the National Graphene Institute, part of the University of Manchester (UoM) to explore advanced graphene applications. This investment and partnership with the UoM in research of 2D materials in thermoplastics gives us a competitive edge in the future when we are able to introduce new sophisticated materials. As a result, we will be able to push boundaries and help our customers develop their products which will improve the environment and make society safer,” Russell enlightens.
To accommodate this depth of research and innovation, Colloids has more than doubled the size of its laboratories over the past two and a half years, equipping them with state-of-the-art testing and analytical tools. “Our capabilities in technical masterbatch development are second to none in our industry,” Russell proudly states.
With facilities in the US, UK, and China, Colloids is well-positioned to serve markets across North and South America, Europe, Africa, and Asia. “Our global presence has been crucial in establishing Colloids as a tier 1 supplier to some of the world’s largest plastic and chemical companies,” says Russell.
This strategic expansion has already delivered significant results. “We have developed more partnerships by having a presence in China, with our share of the US market growing now that our Houston facility is up and running. Moreover. we have a strong position in the Middle East and increasingly in Latin America and Southeast Asia,” he adds.
Developing the global reach of the brand and diversifying its product portfolio through acquisitions has put Colloids in a position of strength, enabling it to overcome unexpected challenges. “For instance, when the conflict in Ukraine made expansion into Russia untenable, we quickly pivoted to other markets in the region, with great success. This flexibility has been vital to our ongoing success,” Russell unveils.
Looking to the future, Russell is optimistic about Colloids’ prospects. “We expect rapid expansion in North America, where developing products for a rapidly changing market presents significant opportunities. With access to affordable shale gas and improved infrastructure, the region is becoming more aligned with Western Europe. There are also numerous utility projects underway to replace outdated piping with modern, durable materials,” he ends.
Thanks to its forward-thinking strategy, Colloids has successfully transformed into a truly global player, well-positioned to capitalize on new markets and future opportunities.