CPI Card Group, a US-based provider of credit, debit, and prepaid solutions, has resolved a derivative action filed against some of its directors and officers.
The action was associated with the firm’s 2015 IPO.
Under the agreement, the firm will make some changes to corporate governance. The agreement also mandates the firm’s insurers to pay more fees and expenses awarded to the plaintiff’s counsel.
The agreement does not call for any other monetary penalty. The defendants refused misconduct charges throughout.
CPI Card Group awaits a final nod from the court over the settlement.
CPI Card Group recent highlights
In September last year, CPI Card Group launched its payment card called Second Wave made with recovered ocean-bound plastic. Its new offering has been developed to avoid first-use plastic.
A month later, the firm expanded its Second Wave payment cards to new industries including transit, hospitality as well as entertainment.
In 2018, the firm divested its UK business to private investment firm SEA Equity.
CPI Card Group also collaborated with core processor FLEX to offer its instant card issuance solution Card@Once to credit unions.
In addition, CPI Card Group partnered with credit union services provider Commercial Business Systems (CBS) to provide a streamlined approach to instant issuance of EMV-enabled cards.