Zotefoams

We like Zotefoams because of its technical capabilities in specialist lightweight foams, which are used in high-margin, niche applications. These applications are all growing well, especially High-Performance Products, which supplies midsoles for the sports shoes worn by professional athletes.

A manufacturing joint venture in Vietnam, a major centre to produce sports shoes, looks like a sensible move and a new senior management team is revitalising the business, with an initial emphasis on cost savings and improving profit margins.

Zotefoams produces lightweight polymer materials for sectors such as aviation and healthcare, helping reduce emissions by replacing heavier alternatives. However, plastics derived from fossil fuels can persist for centuries and foamed plastics are particularly difficult to recycle, often ending up in landfills or incineration.

These concerns are increasingly relevant amid pressure to reduce plastic use. While Zotefoams avoids harmful chemical blowing agents and tries to use recycled content, the broader environmental footprint of its materials is worth keeping an eye on.

Some products require animal testing to ensure safety for human use. When questioned, the company confirmed it tries to minimise testing and adopt alternative methods wherever possible.