EUC underwent a major transformation recently, this involved the sale of Tor Coatings for 13.5 million in cash, the purchase of all the remaining cumulative convertible redeemable preference shares and the commencement of a program to close group Head Office and a restructuring of the board.

By choosing growing profitable niche products into the speciality areas of the printing ink, paint and plastics industries, the new management has focus on the opportunities in EC Pigments, and EUC can be restored to the long-term growth trend the company enjoyed in the past.

Pospects
1. The company wants to be a significant global player on niche products, which are towards the top end of the value chain.
2. Expanding the color business from the point of view of geographic growth on the Asia Pacific area were last year grew by 78%.
3. Is trying to expand into non-ink areas, primarily plastics and paints, where there's more customer base differentiation available, have a flexible sourcing strategy, and be able to pick and choose where to get their product from.

Valuation
1. The company had a good Interim last November were sales and profits have increased, dividends resumed and profits margins of 10%, Year result are due in early June.
2. Though the world economy remain difficult the prospect are most encouraging and the shares @ 24p look undervalued on a P E of 6 for next year, NAV of around 30p and Jarvis Porter just announced last Friday a 29.73% stake as an Investment, but a bid would not surprise anyone.