GPGI, Inc. Shareholders Are Encouraged to Contact Johnson Fistel Regarding Potential Recovery of Investment Losses
Johnson Fistel, PLLP is investigating potential claims on behalf of investors of GPGI, Inc., formerly known as CompoSecure, Inc. (NYSE: GPGI; formerly CMPO), concerning whether the company or certain of its executive officers and directors violated federal securities laws in connection with GPGI’s acquisition of Husky Technologies Limited (“Husky”).
What if I purchased GPGI securities?
For additional information, contact Jim Baker at jimb@johnsonfistel.com or (619) 814-4471.
There is no cost or obligation to you.
Investors seeking appointment as lead plaintiff in the pending GPGI securities class action must file a motion with the court no later than September 14, 2026. An investor’s ability to share in any potential future recovery is not dependent upon serving as lead plaintiff.
Background of the Investigation
A federal securities class action, captioned City of Warren Police and Fire Retirement System v. GPGI, Inc., No. 1:26-cv-05951 (S.D.N.Y.), has been filed against GPGI, certain of its executive officers and directors, and Resolute Holdings Management, Inc.
According to the complaint, the defendants allegedly made materially false or misleading statements or failed to disclose that Husky’s value had been materially overstated; that Husky was not on track to achieve the revenue and Adjusted EBITDA targets presented to investors and those targets allegedly lacked a reasonable factual basis; that a primary motivation for the Husky acquisition was allegedly to generate millions of dollars in fees for Resolute Holdings and certain individual defendants rather than to create long-term value for CompoSecure shareholders; and that GPGI’s and Husky’s combined business prospects and anticipated financial results were allegedly materially misrepresented.
On March 12, 2026, GPGI announced its fourth-quarter and full-year 2025 financial results. The company reported that Husky generated fourth-quarter net sales of $520.8 million, representing a 6.1% year-over-year increase, and full-year net sales of approximately $1.57 billion, representing a 5% increase.
GPGI also reported Husky Pro Forma Adjusted EBITDA of $136.1 million for the fourth quarter, a 5.4% year-over-year decrease, and $373.4 million for the full year, a 3% decrease. Husky’s fourth-quarter Pro Forma Adjusted EBITDA margin declined from 29.3% to 26.1%. Following the announcement, GPGI’s stock price reportedly declined approximately 16% over two trading days.
On May 7, 2026, GPGI reported its first-quarter 2026 financial results. Husky’s Pro Forma Adjusted Net Sales were $290.8 million, down 5.2% year over year, while its Pro Forma Adjusted EBITDA declined 40.2% to $38 million.
GPGI also reduced its 2026 guidance. The company lowered its Pro Forma Adjusted Net Sales outlook from a range of $2.183 billion to $2.228 billion to a range of $1.95 billion to $2.10 billion. It reduced its Pro Forma Adjusted EBITDA outlook from a range of $620 million to $650 million to a range of $550 million to $610 million. Following this news, GPGI’s stock price reportedly declined nearly 26%.
Johnson Fistel is reviewing whether GPGI and certain of its officers or directors complied with federal securities laws. Investors who suffered losses are encouraged to contact the firm.
About Johnson Fistel, PLLP | Top Law Firm – Securities Fraud & Investor Rights
Johnson Fistel, PLLP is a nationally recognized shareholder-rights law firm with offices in California, New York, Georgia, Idaho, and Colorado. The firm represents individual and institutional investors in litigation involving securities fraud, breaches of fiduciary duty, and other violations of state and federal law.
Johnson Fistel has been recognized as one of the Top 10 Plaintiff Law Firms by ISS Securities Class Action Services. In 2024, the firm recovered approximately $90,725,000 for investors.
Attorney advertising. Past results do not guarantee future outcomes. Services may be performed by attorneys in any of our offices. This press release may be considered a promotional communication. The attorney responsible for this communication is Frank J. Johnson.
Contact:
Johnson Fistel, PLLP
501 W. Broadway, Suite 800
San Diego, CA 92101
James Baker, Investor Relations
(619) 814-4471
jimb@johnsonfistel.com