SCHEDULE: Ault Group Boosts Stake in Universal Safety Products

A group of entities and individuals led by Milton C. Ault, III, has increased its beneficial ownership in Universal Safety Products, Inc. to 8.4% through recent open market purchases and vested stock options.

Summary

• Milton C. Ault, III and affiliated entities (the "Reporting Persons") have filed an Amendment No. 6 to their Schedule 13D, disclosing an updated beneficial ownership in Universal Safety Products, Inc.
• As of the filing date, Mr. Ault beneficially owns 198,584 shares, representing approximately 8.4% of the Issuer's common stock. This includes 50,000 shares underlying vested stock options.
• Hyperscale Data, Inc. and Ault Capital Group, Inc. each beneficially own 142,584 shares, or 6.2% of the outstanding common stock.
• Ault Lending, LLC beneficially owns 136,631 shares, representing 5.9%.
• Henry Carl Nisser beneficially owns 25,000 shares, representing 1.1%, all from vested stock options.
• The aggregate purchase price for 6,000 shares acquired by Ault & Company, Inc. was $18,032.80, for 5,953 shares by Alpha Fund was $15,818.62, and for 136,631 shares by Ault Lending, LLC was $593,367.61.
• Recent open market purchases by Ault Lending, LLC and Ault & Company, Inc. occurred between November 28, 2025, and December 10, 2025, with prices ranging from $4.1210 to $4.825 per share.

Sentiment

Score: 7

Explanation: The filing indicates a continued accumulation of shares by a group of related entities and individuals, including key management figures, suggesting a positive long-term view of the company. The vesting of options at a strike price below recent market purchases also implies potential value.

Positives

• Increased stake by a significant investor group, potentially signaling confidence in the company's future.
• Vesting of stock options for directors Milton C. Ault, III (50,000 shares) and Henry C. Nisser (25,000 shares) at a strike price of $3.40, which is below recent market purchase prices, indicating potential value for these individuals.

Risks

• The use of margin loans by brokerage firms for purchases, as disclosed in the source of funds, could introduce financial risk to the reporting persons if the stock price declines.

Future Outlook

The filing does not contain explicit forward-looking statements or guidance beyond the expiration date of stock options.

Management Comments

• Mr. Ault has been awarded stock options to purchase 50,000 Shares in his capacity as a director of the Issuer, which have a strike price of $3.40 per share, expire on August 26, 2035, and all of which vested on October 20, 2025.
• Mr. Nisser has been awarded stock options to purchase 25,000 Shares in his capacity as a director of the Issuer, which have a strike price of $3.40 per share, expire on August 26, 2035, and all of which vested on October 20, 2025.

Industry Context

This Schedule 13D amendment reflects an ongoing accumulation of shares by a group of related entities and individuals, which is a common strategy for activist investors or long-term strategic holders seeking to influence corporate direction or capitalize on perceived undervaluation. The specific industry context of Universal Safety Products, Inc. is not detailed in this ownership filing, but the increased stake suggests a belief in the company's prospects within its sector.

Comparison to Industry Standards

• NA

Related Party Transactions

• Milton C. Ault, III is the Executive Chairman of Hyperscale Data, Inc., Chief Executive Officer and Chairman of Ault & Company, Inc., CEO and Chief Investment Officer of Alpha Management, and Executive Chairman of Ault Capital Group, Inc., linking several reporting entities.
• Hyperscale Data, Inc. is the majority holder of equity interests of Ault Capital Group, Inc.
• Ault Capital Group, Inc. is the majority holder of equity interests of Alpha Management and Ault Lending, LLC.
• Alpha Structured Finance GP LLC is the general partner of Alpha Structured Finance LP.
• ACG Alpha Management LLC is the investment manager of Alpha Structured Finance LP.
• Mr. Ault and Mr. Nisser received stock options in their capacity as directors of Universal Safety Products, Inc.

Stakeholder Impact

• Shareholders: The increased stake by a significant investor group, including directors, could be viewed positively as a sign of confidence, potentially influencing market perception and share price.
• Management: The vesting of stock options for directors aligns their interests with long-term shareholder value.

Next Steps

• The Reporting Persons undertake to provide, upon request by the SEC staff, the Issuer, or a security holder of the Issuer, full information regarding the number of Shares purchased at each price for recent transactions.

Key Dates

Recommendation

The filing primarily details changes in beneficial ownership by a group of related entities and individuals, including directors. While the increased stake and vested options suggest confidence from these parties, the filing does not provide new operational or financial performance data to warrant a "buy" or "sell" recommendation. It indicates a continued accumulation, which is generally a neutral to slightly positive signal, supporting a "hold" position for existing investors and suggesting further due diligence for potential new investors.

Keywords

Universal Safety Products, Common Stock, Schedule 13D, Beneficial Ownership, Milton C. Ault III, Hyperscale Data, Ault Capital Group, Ault Lending, Stock Options, SEC Filing, Investment, Shareholder