SCHEDULE: Universal Safety Products: Ault Group Boosts Stake to 9.7%
Beneficial Ownership Amendment
Milton C. Ault III and affiliated entities have increased their beneficial ownership in Universal Safety Products, Inc. to 9.7% through recent open market purchases and vested options.
Summary
- Milton C. Ault III and affiliated entities have filed Amendment No. 7 to their Schedule 13D regarding Universal Safety Products, Inc.
- The group's aggregate beneficial ownership now stands at 228,657 shares, representing approximately 9.7% of the Issuer's common stock, based on 2,312,887 shares outstanding as of November 19, 2025.
- This includes 50,000 stock options held by Mr. Ault and 25,000 stock options held by Mr. Nisser, both with a strike price of $3.40 per share and vesting on October 20, 2025.
- Recent open market purchases by Ault Lending, LLC, Alpha Structured Finance LP, and Milton C. Ault III occurred between December 11, 2025, and December 31, 2025, at prices ranging from $4.6885 to $5.0600 per share.
- The total aggregate purchase price for shares beneficially owned by Ault & Company, Inc. is $18,032.80 (6,000 shares), Alpha Structured Finance LP is $36,062.60 (10,000 shares), Ault Lending, LLC is $720,590.43 (162,457 shares), and Mr. Ault is $1,005.00 (200 shares).
Sentiment
Score: 7
Explanation: The filing details increased beneficial ownership by Milton C. Ault III and his affiliated entities through open market purchases and vested options, suggesting a positive outlook and continued investment in Universal Safety Products, Inc.
Positives
- Increased beneficial ownership by Milton C. Ault III and affiliated entities, signaling confidence in Universal Safety Products, Inc.
- A significant portion of Mr. Ault's and Mr. Nisser's beneficial ownership comes from vested stock options with a strike price of $3.40, which is below recent market purchase prices, indicating potential for profit.
- Continued open market purchases by affiliated entities suggest ongoing investment and belief in the company's value.
Risks
- The filing does not explicitly detail company-specific risks. The primary risk for the reporting persons is the market price fluctuation of Universal Safety Products, Inc. common stock.
Future Outlook
No explicit future outlook or guidance is provided in this filing.
Industry Context
This filing details an increase in beneficial ownership by an activist investor group. Such an increase often signals potential for future strategic involvement or pressure for changes within the company, which could impact its competitive position or operational focus within its industry.
Related Party Transactions
- Purchases of common stock by Ault Lending, LLC, Alpha Structured Finance LP, and Milton C. Ault III are detailed. These entities and individuals are related through Milton C. Ault III's various leadership roles and ownership structures.
Stakeholder Impact
- Shareholders: Increased ownership by a significant investor group could be seen as a positive signal, potentially leading to increased scrutiny of management or strategic changes.
- Management: The increased stake by Mr. Ault and his affiliates, who hold various executive and board positions, could imply a stronger influence on company direction.
Next Steps
- The reporting persons undertake to provide full information regarding the number of shares purchased at each price upon request by the SEC staff, the Issuer, or a security holder of the Issuer.
Key Dates
| Date | Description |
|---|---|
| 10/20/2025 | Stock options for Mr. Ault (50,000 shares) and Mr. Nisser (25,000 shares) vested. |
| 11/19/2025 | Total number of Shares outstanding (2,312,887) reported in the Issuer's Quarterly Report on Form 10-Q. |
| 12/11/2025 | Ault Lending, LLC purchased 5,400 shares of Common Stock at a volume weighted average price of $4.8669. |
| 12/12/2025 | Ault Lending, LLC purchased 500 shares of Common Stock at a volume weighted average price of $4.8791. |
| 12/15/2025 | Alpha Structured Finance LP purchased 2,500 shares of Common Stock at a volume weighted average price of $5.0210. |
| 12/16/2025 | Ault Lending, LLC purchased 1,569 shares of Common Stock at a volume weighted average price of $5.0159. |
| 12/16/2025 | Alpha Structured Finance LP purchased 1,547 shares of Common Stock at a volume weighted average price of $5.0486. |
| 12/17/2025 | Ault Lending, LLC purchased 1,635 shares of Common Stock at a volume weighted average price of $4.9194. |
| 12/18/2025 | Ault Lending, LLC purchased 2,069 shares of Common Stock at a volume weighted average price of $4.9050. |
| 12/19/2025 | Ault Lending, LLC purchased 1,420 shares of Common Stock at a volume weighted average price of $4.9877. |
| 12/22/2025 | Ault Lending, LLC purchased 2,168 shares of Common Stock at a volume weighted average price of $4.9796. |
| 12/23/2025 | Ault Lending, LLC purchased 100 shares of Common Stock at a volume weighted average price of $5.0150. |
| 12/26/2025 | Date of event which requires filing of this statement. Ault Lending, LLC also purchased 6,805 shares of Common Stock at a volume weighted average price of $4.9213. |
| 12/29/2025 | Ault Lending, LLC purchased 100 shares of Common Stock at a volume weighted average price of $5.0100. |
| 12/29/2025 | Milton C. Ault III purchased 200 shares of Common Stock at a price of $5.0250. |
| 12/30/2025 | Ault Lending, LLC purchased 700 shares of Common Stock at a volume weighted average price of $4.9859. |
| 12/31/2025 | Ault Lending, LLC purchased 3,360 shares of Common Stock at a volume weighted average price of $4.9345. |
| 01/05/2026 | Date of filing of this Amendment No. 7. |
| 08/26/2035 | Expiration date for stock options held by Mr. Ault and Mr. Nisser. |
Recommendation
holdThe increased stake by a prominent investor group, including significant open market purchases, suggests continued confidence in the company. However, without further strategic announcements or financial performance details from the issuer, a 'hold' recommendation is appropriate, advising investors to monitor future developments and the group's intentions. The vested options at a lower strike price also provide a floor for the investor group's cost basis.
Keywords
Universal Safety Products, Common Stock, Schedule 13D, Beneficial Ownership, Milton C. Ault III, Hyperscale Data, Ault & Company, Alpha Structured Finance, Ault Lending, Stock Options, SEC Filing, Investment, Shareholder Stake
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