CompoSecure director Thomas R. Knott acquires $9.99 million in stock

Published 15/02/2025, 03:40
CompoSecure director Thomas R. Knott acquires $9.99 million in stock

Thomas R. Knott, a director and significant shareholder of CompoSecure, Inc. (NASDAQ:CMPO), has recently expanded his stake in the company with a series of stock purchases. According to a recent SEC filing, Knott acquired a total of 646,893 shares of CompoSecure's Class A Common Stock over a three-day period ending February 14, 2025. The timing appears strategic, as CMPO shares have delivered an impressive 217% return over the past year, with the stock currently trading near its 52-week high of $17.03.

The transactions were executed at a price range between $15.01 and $15.83 per share, culminating in a total investment of approximately $9.99 million. These purchases have increased Knott's direct and indirect holdings in the company, reflecting his continued confidence in CompoSecure's prospects. According to InvestingPro analysis, the company maintains a "GREAT" financial health score of 3.14, with analyst targets suggesting further upside potential.

The shares were acquired through multiple transactions, with prices varying slightly within the reported range. This strategic move by Knott underscores his commitment to the company amid ongoing developments in the finance services sector, where CompoSecure operates. Get deeper insights into CMPO's valuation and 7 additional InvestingPro Tips, along with comprehensive analysis in the Pro Research Report.

In other recent news, CompoSecure, Inc. has made several significant developments. The company announced plans to spin off a new entity, Resolute Holdings Management, Inc., following an amendment to its credit agreement. The spin-off, which is expected to be completed in the first quarter of 2025, will involve a pro rata distribution of shares in Resolute Holdings to all existing shareholders of CompoSecure.

In addition, CompoSecure issued 3.6 million shares of Class A common stock as part of an earn-out consideration related to a business combination completed in 2021. The company also successfully completed the exchange of all its $130 million 7.00% Exchangeable Notes due 2026 for shares of its Class A common stock, reducing its long-term debt from $330 million to $200 million.

Lastly, CompoSecure announced the elimination of its dual-class structure following a transaction that saw the exchange of Class B Units for shares of Class A Common Stock. These recent developments underline the company's ongoing efforts to streamline its operations and focus on its core business segments.

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