CPI Card Group Inc. (NASDAQ: PMTS) reported that Tricor Pacific Capital Inc., a long‑time indirect investor, purchased 1.9 million shares of the company’s common stock on December 5, 2025. The transaction increased Tricor’s direct ownership to 2.2 million shares, or roughly 20 % of CPI’s outstanding shares, reinforcing the investor’s long‑term commitment to the payments‑technology firm.
Chairman H. Sanford Riley also acquired 200,000 shares from Parallel49 Equity, ULC, reducing Parallel49’s stake from 4.8 million shares (about 42 % of the company) to 2.7 million shares (around 24 %). Both parties entered into one‑year lock‑up agreements, signaling confidence in CPI’s strategic direction and a desire to maintain ownership stability.
The share purchases come against a backdrop of mixed financial results for CPI. In Q3 2025, the company reported an earnings‑per‑share miss of $0.21 versus consensus estimates of $0.17, a shortfall of $0.04 or 24 %. The miss was driven by a decline in gross profit margin from 35.8 % to 29.7 %, largely due to an unfavorable sales mix, tariff expenses, and increased depreciation. Revenue rose 11 % to $2.89 billion, but the margin compression offset the top‑line growth, underscoring the company’s pricing and cost pressures.
Despite the earnings miss, management highlighted the strategic importance of the instant issuance platform and fraud‑prevention initiatives. CPI has been expanding its Card@Once instant issuance solution, integrating with Nymbus, and partnering with Rippleshot to enhance fraud‑prevention technology. These initiatives are positioned to drive future revenue growth and improve profitability as the company scales its digital offerings.
The ownership consolidation by Tricor and the chairman’s purchase signal that key stakeholders remain optimistic about CPI’s trajectory, even as the company navigates margin compression and a challenging earnings environment. The lock‑up agreements further suggest a long‑term view, potentially reducing short‑term ownership volatility and aligning the interests of major shareholders with the company’s growth strategy.
The transaction does not represent a direct capital raise for CPI, but it strengthens the ownership base and may enhance the company’s ability to pursue strategic investments in its instant issuance and fraud‑prevention platforms.
The event is material because it involves a significant change in ownership by a major investor and the company’s chairman, and it provides insight into stakeholder confidence amid recent financial headwinds.
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