CompoSecure Rebrands as GPGI After $7.4B Merger with Husky Technologies

SOMERSET, N.J. – January 12, 2026 – CompoSecure, Inc., a leader in metal payment card technology, has officially completed its transformative business combination with industrial manufacturing giant Husky Technologies Limited. The move, which creates a combined entity valued at $7.4 billion, is accompanied by a significant corporate rebranding: the parent company will now be known as GPGI, Inc., an acronym for its core philosophy of owning “Great Positions in Good Industries.”

The deal marks a pivotal evolution for the former CompoSecure (NYSE: CMPO), shifting it from a specialized fintech and security firm into a diversified, multi-industry holding company. GPGI will now operate with two distinct reporting segments: the original CompoSecure business and the newly acquired Husky Technologies. The company’s stock is expected to begin trading under the new ticker symbol “GPGI” on the New York Stock Exchange on January 23, 2026.

This strategic pivot is the cornerstone of a long-term vision to build a permanent capital platform, a structure designed to acquire, own, and scale high-quality businesses indefinitely, distinguishing it from traditional private equity models that often operate on fixed timelines for buying and selling assets.

A New Compounder Model Takes Shape

At the heart of the new entity is the “GPGI” philosophy, championed by Executive Chairman Dave Cote, the celebrated former CEO of Honeywell. The strategy focuses on acquiring market-leading companies in stable, profitable industries and leveraging a centralized operational playbook to drive long-term value. By combining CompoSecure, a high-tech player in finance and digital security, with Husky, a 70-year-old titan in industrial injection molding equipment, GPGI is making a definitive statement about its diversified ambitions.

The structure is that of a “compounder,” a vehicle built to reinvest earnings over long horizons to generate exponential growth, much like a long-term stock investment. GPGI will be managed by Resolute Holdings Management, Inc. (NYSE: RHLD), a firm co-founded by Cote and Chief Investment Officer Tom Knott, which was purpose-built to execute this strategy.

In a joint statement, Cote and Knott expressed their confidence in the new platform. “We are thrilled to announce the completion of the Husky transaction and the corporate entity’s name change to GPGI, Inc.,” they stated. “We are making progress at both CompoSecure and Husky – and are even more convinced today about the prospects for both companies and for the broader platform. We remain focused on delivering results for our shareholders and investors and making GPGI an aspirational home for great operators and great businesses.”

This model eschews the search for direct operational synergies between its portfolio companies. Instead, the primary synergy comes from a shared management framework and capital allocation strategy, allowing strong but disparate businesses to flourish under a single, well-capitalized umbrella.

The Financial Architecture and Market Reaction

The $7.4 billion enterprise valuation is based on a pro forma adjusted EBITDA of approximately $635 million for 2026, representing a multiple of around 11.6x. The company projects the transaction will be more than 20% accretive to adjusted diluted earnings per share in its first full year.

The complex deal was financed through a multi-pronged approach, indicating strong institutional and insider confidence. It included an oversubscribed private placement of approximately $2.0 billion, a significant $1.0 billion equity rollover from Husky’s prior owner, Platinum Equity, and the retention of a $1.0 billion equity stake by the David Cote Family. The new entity also took on approximately $2.0 billion in debt, resulting in a pro forma net leverage ratio of about 3.5x, which the company expects to reduce through strong free cash flow generation.

Wall Street has responded with considerable optimism in the lead-up to the deal’s closing. Shares of CompoSecure surged over 92% in the past year, with a notable 28% jump following the initial merger announcement in late 2025. Analysts have taken a positive stance, with firms like Lake Street Capital Markets and JPMorgan raising their price targets, citing strong core business performance and margin expansion. This market enthusiasm reflects confidence in the strategic direction and the leadership of Dave Cote.

However, some financial metrics suggest a degree of caution is warranted. The company's valuation multiples are high, and its post-merger debt load, while manageable according to projections, places it in a position where flawless execution will be critical to meeting its deleveraging and growth targets.

Cote's 'Resolute Operating System' as the Core Synergy

The true linchpin of the GPGI strategy is not found in product crossover between a metal credit card and a plastic molding machine, but in the implementation of the “Resolute Operating System” (ROS). This operational management framework is a direct descendant of the highly successful “Honeywell Operating System” (HOS) that Dave Cote used to transform Honeywell into an industrial powerhouse during his tenure as CEO.

The ROS is a comprehensive system for driving efficiency, quality control, and growth. It integrates proven methodologies like Six Sigma and Lean manufacturing to streamline processes, reduce waste, and improve performance. By deploying this system across its portfolio companies, GPGI aims to create value by making great businesses even better, regardless of their industry.

The system is already showing an impact. CompoSecure’s management has previously credited the early adoption of this operating philosophy with helping to drive significant gross margin improvements in its core business. The expectation is that this systematic approach will unlock further efficiencies and growth opportunities at both CompoSecure and Husky, serving as the blueprint for all future acquisitions under the GPGI banner.

Two Leaders, One Platform

Under the new structure, both CompoSecure and Husky will retain their brand identities and operate as independent segments, each a leader in its respective domain.

CompoSecure, founded in 2000, has carved out a premium niche in the global payments industry with its innovative metal cards and the Arculus digital security platform. It provides technology that enables trust for millions of users, combining physical elegance with digital authentication.

Husky Technologies, founded in 1953, is a global leader in providing highly engineered injection molding equipment, services, and parts. Its systems are critical for producing a vast range of everyday plastic products, from beverage containers and food packaging to medical devices and consumer electronics parts. It operates in a massive global market driven by constant demand for innovation in materials and manufacturing efficiency.

By uniting these two market leaders under a single permanent capital platform, GPGI is betting that a disciplined operational strategy and a long-term investment horizon can build a resilient, high-growth industrial and technology compounder prepared for the decades to come.