Alpha Modus Holdings announces $31mln capital boost through preferred stock conversion.

Wednesday, Jun 4, 2025 8:17 am ET1min read

Alpha Modus Holdings is transforming its capital structure by exchanging Series C Preferred Stock into Class A Common Stock. This move will reduce mezzanine equity by $31.2 million, significantly lowering preferred equity overhang and long-term liabilities. Common stock will increase by 26.5 million shares and $2.65 million, aligning economic interests with all shareholders. Additional Paid-in Capital will also increase by $31.1 million, boosting the company's permanent equity base and financial flexibility.

Alpha Modus Holdings, Inc. (NASDAQ: AMOD), a leading innovator in AI-driven retail technologies, has announced a significant transformation in its capital structure. The company will exchange its Series C Preferred Stock into Class A Common Stock, a move that will reduce mezzanine equity by $31.2 million and significantly lower preferred equity overhang and long-term liabilities. This restructuring aims to align the CEO's family interests with those of common shareholders and boost the company's financial flexibility [1].

The transaction, led by CEO William Alessi's affiliated family trusts, will see common stock increase by 26.5 million shares and $2.65 million. Additionally, the company's Additional Paid-in Capital will increase by $31.1 million, further bolstering its permanent equity base. This capital reallocation is expected to enhance Alpha Modus' long-term solvency metrics, lower perceived risk, and improve its ability to access capital markets [1].

The move reflects a strategic shift towards a more balanced capital structure, which the company believes will enhance its attractiveness to institutional investors. By reducing shareholder deficit and increasing tangible shareholder equity, Alpha Modus aims to signal confidence in its long-term growth prospects [1].

The financial figures cited in the announcement are estimates prior to quarter-end and will be finalized in the Company's upcoming quarterly filing. Alpha Modus remains committed to its mission of driving shareholder value through patent enforcement, AI technology adoption, and strategic expansion in the retail innovation sector [1].

For more information and to access Alpha Modus' press room, visit: [Alpha Modus Press Room](https://alphamodus.com/press-room/)

References:
[1] https://www.globenewswire.com/news-release/2025/06/04/3093537/0/en/Alpha-Modus-Holdings-Inc-To-Strengthen-Balance-Sheet-by-31-Million-Through-CEO-Led-Capital-Restructuring.html

Alpha Modus Holdings announces $31mln capital boost through preferred stock conversion.

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