Form 4: CompoSecure Director Mark R. James Granted Stock Options Valued at $13.68 Per Share

CompoSecure, Inc. Director Mark R. James was granted 21,074 stock options with an exercise price of $13.68 per share, vesting annually over four years.

Summary

• Mark R. James, a Director of CompoSecure, Inc. (CMPO), was granted 21,074 stock options.
• The stock options have an exercise price of $13.68 per share.
• The transaction date for this grant was May 28, 2025.
• The options will vest in equal annual installments of 25% each, starting on May 28, 2026, and continuing on the first, second, and third anniversaries thereafter.
• The expiration date for these stock options is May 28, 2035.

Sentiment

Score: 6

Explanation: The sentiment is slightly positive as the grant of stock options aligns the director's interests with shareholder value, which is generally viewed favorably. However, it is a routine compensation disclosure, not indicative of significant operational or financial news.

Positives

• The grant of stock options to a director aligns management and director interests with those of shareholders, as the value of the options increases with the company's stock price.
• Equity compensation is a standard practice for attracting and retaining qualified board members.

Future Outlook

This filing reports a past transaction and does not contain forward-looking statements or guidance regarding the company's financial performance or strategic outlook.

Industry Context

The granting of stock options to directors is a common practice across various industries as a form of non-cash compensation, aiming to align the interests of the board with long-term shareholder value creation.

Comparison to Industry Standards

• Equity compensation, such as stock options, for non-executive directors is a standard practice in publicly traded companies across most industries, including technology and financial services, to incentivize long-term performance and align interests with shareholders.
• The specific size of the grant (21,074 options) and the vesting schedule (four years, 25% annually) are within typical ranges for director compensation, though specific comparisons would require detailed analysis of CompoSecure's peer group compensation practices.

Related Party Transactions

• The grant of stock options to Mark R. James, a Director of CompoSecure, Inc., constitutes a related party transaction as it involves compensation provided to a member of the company's board of directors.

Stakeholder Impact

• Shareholders: The grant of stock options aims to align the director's financial interests with the long-term performance of the company, potentially benefiting shareholders through improved governance and strategic oversight.

Next Steps

• The stock options will vest in annual installments of 25% on May 28, 2026, and on the first, second, and third anniversaries thereof.

Key Dates

Keywords

CompoSecure, CMPO, Stock Options, Director Compensation, Insider Transaction, SEC Form 4, Equity Grant