8-K: Alpha Modus Holdings Completes Stock Exchange

Alpha Modus Holdings, Inc. has completed an exchange of Series C Preferred Stock for Class A Common Stock, increasing outstanding common shares to over 164 million.

Summary

• Alpha Modus Holdings, Inc. finalized an exchange agreement on June 5, 2026.
• The company exchanged 3,870,000 shares of Series C Preferred Stock for 109,588,265 shares of Class A Common Stock.
• This exchange was with the family trust of the Company's CEO, William Alessi.
• The transaction aimed to boost the market value of listed securities to meet Nasdaq's MVLS standard and reduce the stockholders' deficit.
• Following the exchange, the total number of Class A Common Stock outstanding is now 164,884,640 shares.

Sentiment

Score: 5

Explanation: StockSavvy.ai views this as a neutral event; while it addresses a compliance issue, the long-term impact on market value and shareholder equity is yet to be determined.

Positives

• Completion of a stock exchange designed to improve market value and Nasdaq compliance.
• Increased the number of Class A Common Stock outstanding to 164,884,640 shares.
• Reduction in the company's stockholders' deficit is an intended outcome.

Negatives

• The exchange involves a significant number of shares, potentially diluting existing common stockholders.
• The company is still working to regain compliance with Nasdaq's MVLS alternative listing standard, indicating prior non-compliance.

Risks

• Failure to meet Nasdaq's Minimum Market Value of Listed Securities (MVLS) standard could lead to delisting.
• The increased number of outstanding shares could lead to further dilution if not accompanied by corresponding value growth.
• The effectiveness of this exchange in materially increasing market value remains to be seen.

Future Outlook

The company aims to increase the market value of its listed securities to regain compliance with Nasdaq's MVLS alternative listing standard.

Management Comments

• The exchange was intended to increase the market value of the Company's listed securities in an effort to regain compliance with Nasdaq's MVLS alternative listing standard and materially reduce the Company's stockholders deficit.

Industry Context

StockSavvy.ai notes that companies often undertake complex capital structure adjustments, such as preferred stock to common stock exchanges, to meet exchange listing requirements and improve investor perception, especially when facing potential delisting.

Related Party Transactions

• Exchange of 3,870,000 shares of Series C Preferred Stock for 109,588,265 shares of Class A Common Stock with the family trust of the Company's CEO, William Alessi.

Stakeholder Impact

• Shareholders: Potential dilution from the significant increase in common shares outstanding; potential benefit if Nasdaq compliance is achieved and market value increases.
• Management: The CEO's family trust is directly involved in the transaction.
• Creditors: No direct impact mentioned, but improved financial standing could indirectly benefit creditors.

Next Steps

• Regain compliance with Nasdaq's MVLS alternative listing standard.
• Monitor the market value of listed securities following the stock exchange.

Key Dates

Recommendation

The filing details a necessary step to address Nasdaq listing requirements, but the success of this strategy in improving market value and reducing the deficit is uncertain. Therefore, a 'hold' recommendation is appropriate pending further performance indicators.

Keywords

Alpha Modus Holdings, Form 8-K, Stock Exchange, Series C Preferred Stock, Class A Common Stock, Nasdaq Compliance, MVLS Standard, William Alessi