CompoSecure: Heavy Metal - [Business Breakdowns, EP.232]

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Oct 24, 2025

In this engaging discussion, Parsa Kiai, Managing Partner at Steamboat Capital and expert in the premium metal card industry, shares insights on CompoSecure's rise and dominance. He delves into the shift brought by Dave Cote's leadership, the lucrative appeal of premium metal cards for banks, and the market's growth potential. Parsa discusses the challenges posed by mobile wallets, competitive pressures, and strategic M&A opportunities as CompoSecure aims to enhance its offerings and profitability. A must-listen for insights on a niche yet booming sector!

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INSIGHT

Niche Leader In Premium Metal Cards

CompoSecure manufactures premium metal credit cards used by major issuers like AmEx and Chase.
Their niche manufacturing and design expertise built long-term issuer relationships and repeat business.

ANECDOTE

Family Origins Led To First Metal Card

CompoSecure began as a family business and worked with American Express to produce the first metal credit card in 2003.
That early partnership anchored long-term growth and ongoing collaboration with top issuers.

INSIGHT

Arculus: Beyond A Crypto Cold Wallet

Arculus is CompoSecure's digital security product positioned as more than a crypto cold wallet.
It aims to add authentication and fraud-reduction use cases that could be cross-sold to issuers.

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This is Matt Reustle. Today we are breaking down CompoSecure, a company that manufactures premium metal credit cards and payment cards. My guest is Parsa Kiai, Managing Partner at Steamboat Capital. What really made Parsa the ideal guest is that he has a history with CompoSecure from before the Dave Cote era, which started sometime in 2024.

We get into all of this: the niche market of premium metal credit cards, how CompoSecure has such a dominant position in that industry, the opportunity in digital storage, and perhaps most importantly, what Dave Cote's involvement means for the company—his M&A track record and the unique corporate structure they've created. I often get asked what you can do with the lessons you take from business breakdowns, and this is a perfect example of taking the lessons and lens from other companies and looking for pattern recognition in the market. Please enjoy this Breakdown on CompoSecure.

For the full show notes, transcript, and links to the best content to learn more, check out the episode page⁠⁠⁠⁠ here.⁠⁠⁠⁠

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Business Breakdowns is a property of Colossus, LLC. For more episodes of Business Breakdowns, visit⁠⁠⁠⁠ joincolossus.com/episodes⁠⁠⁠⁠.

Editing and post-production work for this episode was provided by The Podcast Consultant (⁠⁠⁠⁠https://thepodcastconsultant.com⁠⁠⁠⁠).

Show Notes

(00:00:00) Welcome to Business Breakdowns

(00:03:28) The Niche Business of Premium Metal Credit Cards

(00:05:35) Dave Cote's Impact on CompoSecure

(00:07:17) The Origin Story of CompoSecure

(00:09:11) Innovations and Growth in the Credit Card Industry

(00:11:19) The SPAC Era and New Growth Engines

(00:15:09) The Future of Digital Wallets and Security

(00:31:08) Financial Performance and Market Position

(00:42:55) Dave Cote's M&A Strategy and Resolute Holdings

(00:54:10) Lessons From CompoSecure