Compass Diversified Holdings

What Compass Diversified Holdings does

Compass Diversified Holdings (NYSE: CODI) is a publicly traded holding company, co-founded in 1998 by Elias Sabo and IPO'd in 2006, that owns and actively manages a diversified portfolio of middle-market businesses in branded consumer and niche industrial sectors. The company deploys permanent capital — a structure that frees it from traditional private equity fund-life constraints — to acquire controlling interests in companies with $10M+ EBITDA and $80M–$800M transaction sizes, then supports them with operational expertise and follow-on capital. As of 2024–2026 the active portfolio comprises 9 platforms: PrimaLoft (synthetic insulation for outerwear), 5.11 (technical apparel for law enforcement/military/first responders), BOA (dial-based fit systems integrated into athletic and outdoor products), Arnold Magnetic Technologies (engineered permanent magnets and thin alloys for aerospace, defense, motorsport, medical, and energy), The Honey Pot (plant-derived feminine care, acquired February 2024 for $380M), Velocity Outdoor (shooting sports products), Altor Solutions (custom packaging and insulation), and Rimports (home fragrance, retained after the 2026 Sterno foodservice divestiture).

CODI generates revenue through the operating activities of its subsidiaries — which collectively produced approximately $1.4B in YTD 2025 sales and $345.8M of subsidiary adjusted EBITDA in full-year 2025 (+8.8% YoY) — and earns returns through dividends, distributions, and value creation. The company does not charge pricing to end customers; rather, each subsidiary maintains its own go-to-market: 5.11 runs direct-to-consumer and retail; Honey Pot is distributed across 30,000+ retail stores; Arnold Magnetic serves 2,000+ global blue-chip customers via direct B2B sales; BOA licenses/integrates its technology with premier brand partners. The company is externally managed by Compass Group Management LLC under a Management Services Agreement, has paid dividends for 20 consecutive years (12.35% yield), and is in the midst of a leadership transition (Elias Sabo retiring end of 2026, succeeded by COO Zach Sawtelle) and an active deleveraging program that includes the 2024 Ergobaby sale, the 2025 resolution of the Lugano Diamonds bankruptcy and fraud, and the May 2026 Sterno foodservice divestiture.

Name

Compass Diversified Holdings

Legal name

Compass Diversified Holdings

Website

https://compassdiversified.com

Company type

Public

Founded year

1998

Operating status

Operating

Headcount range

1,001–5,000 employees

Short description

Compass Diversified Holdings (NYSE: CODI) is a publicly traded holding company that uses permanent capital to acquire and actively manage controlling stakes in middle-market branded consumer and industrial businesses, currently operating 9 platforms including 5.11, PrimaLoft, BOA, Arnold Magnetic, and The Honey Pot.

Ownership category

akta.pro rank

Product category

Diversified Holding Company

NAICS

Management of Companies and Enterprises (551), Management of Companies and Enterprises (55111), Miscellaneous Financial Investment Activities (523999)

SIC

Investors, Nec (6799), Services-Management Consulting Services (8742)

akta.pro primary industry

M&A Advisory (Buy-side/Sell-side) (BPAHADAC)

akta.pro secondary industries

Corporate Development & Strategic Partnerships Advisory (JVs, Alliances, Carve-outs) (BPAHAOAG), Strategy & Corporate Development Consulting (BPAHACAA)

Keywords

• Middle-market acquisitions
• Permanent capital holding
• Consumer brand portfolio
• Industrial technology investments
• Branded consumer products

Headquarters

HQ city

Westport

HQ country

United States

HQ region

North America

Offices2 records

Markets served

GTM type

B2B

Offering type

Services

Cost components

Operations, Personnel, Supply Chain, Marketing or Sales, Technology or R&D, Infrastructure

Revenue model

1. Portfolio Company Management: Compass Diversified generates revenue through ownership and active management of portfolio companies across branded consumer and industrial sectors. The company earns returns through dividends, distributions, and value creation from its subsidiaries including PrimaLoft, Arnold Magnetic, BOA, 5.11, Altor, The Honey Pot, Velocity Outdoor, and others.
2. Dividend Income from Subsidiaries: The company receives dividend distributions from its subsidiary companies which generate cash flow from operations

Go-to-market motion1 record

Distribution channels4 records

Marketing channels4 records

Core offering

Compass Diversified Holdings is a publicly traded holding company that acquires and actively manages controlling interests in middle-market businesses across branded consumer and industrial technology sectors. The company provides permanent capital to founder-led, family-owned, and corporate-divested businesses, taking majority ownership positions and providing strategic oversight through its management company, Compass Group Management LLC. Revenue is generated through subsidiary operations spanning consumer products, technical apparel, magnetic technologies, packaging, and outdoor recreation categories.

Product overview

Compass Diversified Holdings is a publicly traded holding company (NYSE: CODI) that provides permanent capital to acquire and manage a diversified portfolio of middle-market businesses across branded consumer and niche industrial sectors. The company operates through distinct subsidiary brands rather than a unified platform architecture. Current portfolio includes PrimaLoft (synthetic insulation for outerwear), Velocity Outdoor (shooting sports products), 5.11 (tactical apparel), Arnold Magnetic Technologies (permanent magnets), Altor Solutions (custom packaging), BOA (dial-based fit systems), The Honey Pot (feminine care products), and Rimports (home fragrance). The company takes majority positions in businesses with sustainable competitive advantages, providing active support and strategic guidance while maintaining their operational identities.

Differentiator

Problem solved

Functional benefit

Brands

• PrimaLoft: Advanced material technology company providing branded high-performance synthetic insulation for consumer outerwear and accessories
• Velocity Outdoor
• The Honey Pot
• 5.11
• BOA
• Arnold Magnetic Technologies
• Altor Solutions
• Sterno/Rimports

Products and services

• The Honey Pot Company Premium better-for-you consumer packaged goods brand offering herb-powered feminine hygiene, menstrual, consumer health, and sexual wellness products using plant-derived ingredients, distributed across over 30,000 stores nationally.
• PrimaLoft Advanced material technology company providing branded high-performance synthetic insulation primarily used in consumer outerwear and accessories, with industry leadership in synthetic insulation technology and sustainability.
• 5.11 Designer and marketer of purpose-built technical apparel and gear serving law enforcement, first responders, military personnel, and consumer markets, with an entrenched position in the professional market providing stable cash flow.
• Arnold Magnetic Technologies Engineered permanent magnet and magnetic assemblies manufacturer and producer of thin and ultra-thin alloy products serving aerospace, defense, motorsport, oil and gas, medical, industrial, and energy markets with over 2,000 global blue-chip customers.
• BOA Dial-based fit system delivering scientifically proven performance improvements for athletes, partnering with premier brands to integrate systems into outdoor, athletic, workwear, and bracing applications.
• Velocity Outdoor Designer, manufacturer, and marketer of shooting sports products and related category consumables and accessories across an industry-leading lineup of enthusiast brands, holding market share leadership in the crossbow category.
• Altor Solutions Leading designer and manufacturer of custom packaging, insulation, and componentry with national manufacturing footprint enabling raw material purchase scaling and better service for national customers.
• Rimports Home fragrance business retained after the sale of Sterno's foodservice operations, operating as a standalone subsidiary offering indoor and outdoor lighting and home fragrance solutions for consumer markets.

Quantifiable outcome

• Subsidiary adjusted EBITDA of $345.8 million in 2025, up 8.8% year-over-year
• +2 more outcomes

Named customers5 records

Segments4 records

Ideal customer profiles2 records

Technology focussed No

API detail

Has API

No

API docs

API detail

Core technology

AI maturity

App detail

Feature4 records

Partnerships

Four partnerships are on record, tiered major and core.

• Archer Foodservice PartnersmajorOthers · 30 March 2026Archer Foodservice Partners, a portfolio company of Wynnchurch Capital, acquired Sterno's foodservice business from Compass Diversified for $292.5 million enterprise value. The transaction is a carve-out of Sterno's portable food-warming and tabletop solutions operations, expected to close in May 2026 pending regulatory approvals.
• USA Rare EarthcoreStrategic or Co-development Partner · 23 March 2026Arnold Magnetic Technologies, a subsidiary of Compass Diversified, entered into a mutual sales and distribution agreement with USA Rare Earth to cross-sell rare earth magnet products. Arnold will distribute USA Rare Earth's NdFeB materials while USA Rare Earth will offer Arnold's SmCo and NdFeB finished magnets. The partnership aims to strengthen the U.S. domestic supply chain for high-performance rare earth permanent magnets used in EVs, wind turbines, defense systems, and advanced industrial equipment.
• The Honey Pot CompanycoreStrategic or Co-development Partner · 1 February 2024Compass Diversified completed partnership with The Honey Pot Company, a feminine care brand, for an enterprise value of $380 million. Founded in 2012 by Beatrice Dixon, the company offers feminine hygiene, menstrual, consumer health, and sexual wellness products using plant-derived ingredients.
• PrimaLoftcoreStrategic or Co-development Partner · 6 June 2022Compass Diversified acquired PrimaLoft, a synthetic insulation manufacturer, for $530 million. PrimaLoft develops high-performance insulation and fabric products and is based in Latham, NY with offices in China.

Scale indicators18 records

Recent moves10 records

Expansion highlights5 records

Broad incumbents

• Berkshire Hathaway: Berkshire Hathaway is the canonical publicly-traded diversified holding company with permanent capital and active management of operating subsidiaries across consumer, industrial, and financial sectors. CODI operates a smaller-scale version of the same model: majority-owned operating subsidiaries, active capital allocation, and no fund-life constraints on holding periods.
• Markel Group: Markel Group is a specialty holding company combining insurance with a diversified portfolio of operating businesses under a permanent capital structure, explicitly modeled on Berkshire. CODI shares the same approach of acquiring and managing niche middle-market companies with sustainable competitive advantages for the long term.
• Loews Corporation: Loews Corporation is a diversified holding company that owns and operates a portfolio of businesses across insurance, energy, hospitality, and packaged goods. Like CODI, Loews takes controlling stakes in operating subsidiaries, manages capital allocation centrally, and is not a traditional private equity fund.
• Brookfield Asset Management: Brookfield Asset Management operates permanent-capital vehicles and alternative asset strategies across real assets, infrastructure, and renewables. CODI's permanent-capital, long-duration approach to middle-market industrial and consumer businesses is conceptually similar at a far smaller scale.
• Apollo Global Management: Apollo Global Management is a large alternative asset manager with significant permanent-capital affiliates (Athene/Athora in insurance) that hold controlling positions in operating businesses. While the model is broader, Apollo shares CODI's emphasis on capital-intensive, long-duration ownership of middle-market operating companies.

Direct peers

• Steel Partners Holdings: Steel Partners Holdings is a small-cap diversified holding company that acquires and manages businesses in industrial, consumer, and specialty sectors. It is the closest scale and model comparable to CODI — permanent capital, controlling positions in niche operating companies, and active operational involvement.
• Icahn Enterprises: Icahn Enterprises is a diversified holding company that owns controlling interests in operating businesses across energy, automotive, food packaging, and real estate. It mirrors CODI's model of long-hold permanent capital, but with a more activist investment style and larger positions per deal.

Others

• Carlyle Group: Carlyle Group is a large private equity firm that competes with CODI in the middle-market buyout segment. Although Carlyle operates a fund-based rather than permanent-capital model, it is a relevant transactional peer for the same universe of founders and families seeking liquidity for $80M-$800M businesses.
• Griffin Industrial Realty: Griffin Industrial Realty is a small publicly-traded holding company that develops and owns industrial real estate. While its portfolio is concentrated in a single asset class rather than diversified, it shares CODI's small-cap listed holding-company structure and capital allocation discipline.

Emerging players

• Rithm Capital: Rithm Capital (formerly Newcastle Investment Corp) is a publicly-traded alternative asset manager that has shifted toward permanent-capital ownership of operating businesses in real estate, mortgage servicing, and specialty finance. It represents an emerging comparable in the listed permanent-capital holding company category.

Market position

Strengths5 records

Weaknesses5 records

Competitive moat5 records

Key risks7 records

Key highlights7 records

Customer concentration

• LinkedInlinkedin.com/company/compass-diversified-holdings
• Xx.com/codiequity

Revenue estimate

Valuation estimate

Number of profiles

Profiles8 records

Subsidiaries8 records

Funding overview

Funding rounds5 records

Investors5 records

Funding detail is available on the Subscription and Enterprise plan.Contact sales →

M&A12 records

Investments

M&A and investment is available on the Subscription and Enterprise plan.Contact sales →

Frequently asked questions about Compass Diversified Holdings