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Alpha Modus CEO Addresses Market Volatility and its Recent SPAC Merger

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Alpha Modus Holdings (Nasdaq: AMOD) CEO William Alessi addressed recent market volatility and the company's SPAC merger, emphasizing strong fundamentals amid what he termed 'uninformed speculation.' The CEO highlighted that unlike typical SPAC transactions, AMOD secured prudent closing terms without issuing commitment shares or zero-cost basis warrants that could incentivize selling.

Alessi noted that the company renegotiated existing sponsor side fees and reduced share issuances where possible. While acknowledging that speculative short positions may create temporary market noise, he emphasized that these activities don't reflect the company's operational model, IP catalogue, and strategic initiatives.

The company is actively engaging with investors to provide clarity on its financial performance and growth trajectory, maintaining its commitment to transparency and accountability to shareholders.

Alpha Modus Holdings (Nasdaq: AMOD) il CEO William Alessi ha affrontato la recente volatilità del mercato e la fusione SPAC dell'azienda, sottolineando i solidi fondamentali in mezzo a quella che ha definito 'speculazione disinformata'. Il CEO ha evidenziato che, a differenza delle tipiche operazioni SPAC, AMOD ha garantito termini di chiusura prudenti senza emettere azioni di impegno o warrant a costo zero che potrebbero incentivare la vendita.

Alessi ha notato che l'azienda ha rinegoziato le commissioni degli sponsor esistenti e ridotto le emissioni di azioni dove possibile. Pur riconoscendo che le posizioni corte speculative possono creare rumore di mercato temporaneo, ha sottolineato che queste attività non riflettono il modello operativo dell'azienda, il catalogo IP e le iniziative strategiche.

L'azienda sta attivamente interagendo con gli investitori per fornire chiarezza sulle proprie performance finanziarie e sulla traiettoria di crescita, mantenendo il suo impegno verso la trasparenza e la responsabilità nei confronti degli azionisti.

Alpha Modus Holdings (Nasdaq: AMOD) el CEO William Alessi abordó la reciente volatilidad del mercado y la fusión SPAC de la compañía, enfatizando los sólidos fundamentos en medio de lo que él describió como 'especulación desinformada'. El CEO destacó que, a diferencia de las transacciones típicas de SPAC, AMOD aseguró términos de cierre prudentes sin emitir acciones de compromiso ni warrants a costo cero que pudieran incentivar la venta.

Alessi comentó que la compañía renegoció las tarifas de patrocinadores existentes y redujo la emisión de acciones donde fue posible. Si bien reconoció que las posiciones cortas especulativas pueden crear ruido temporal en el mercado, enfatizó que estas actividades no reflejan el modelo operativo de la compañía, su catálogo de propiedad intelectual y sus iniciativas estratégicas.

La empresa está interactuando activamente con los inversores para proporcionar claridad sobre su rendimiento financiero y trayectoria de crecimiento, manteniendo su compromiso con la transparencia y la responsabilidad ante los accionistas.

알파 모드홀딩스 (Nasdaq: AMOD)의 CEO 윌리엄 알레시는 최근의 시장 변동성과 회사의 SPAC 합병에 대해 언급하며, 그가 '무지한 추측'이라고 일컬은 가운데에도 강력한 기본 요소를 강조했습니다. CEO는 전형적인 SPAC 거래와 달리 AMOD가 판매를 유도할 수 있는 약속 주식이나 제로 비용 기준의 워런트를 발행하지 않고 신중한 종료 조건을 확보했음을 강조했습니다.

알레시는 회사가 기존의 스폰서 측 수수료를 재협상하고, 가능한 한 주식 발행을 줄였다고 언급했습니다. 투기적 공매도가 일시적인 시장 소음을 초래할 수 있음을 인정하면서도, 이러한 활동이 회사의 운영 모델, 지적 재산 카탈로그 및 전략적 이니셔티브를 반영하지 않는다고 강조했습니다.

회사는 투자자들과 적극적으로 소통하여 재무 성과와 성장 궤적에 대한 명확성을 제공하며, 주주에 대한 투명성과 책임을 유지하려고 노력하고 있습니다.

Alpha Modus Holdings (Nasdaq: AMOD) le PDG William Alessi a abordé la récente volatilité du marché et la fusion SPAC de l'entreprise, en soulignant des fondamentaux solides au milieu de ce qu'il a qualifié de 'spéculation non informée'. Le PDG a souligné qu'à la différence des transactions SPAC typiques, AMOD a sécurisé des conditions de clôture prudentes sans émettre d'actions d'engagement ou de warrants à coût nul qui pourraient inciter à la vente.

Alessi a noté que l'entreprise a renégocié les frais des sponsors existants et réduit les émissions d'actions lorsque cela était possible. Tout en reconnaissant que des positions courtes spéculatives peuvent créer du bruit temporaire sur le marché, il a souligné que ces activités ne reflètent pas le modèle opérationnel de l'entreprise, son catalogue de propriété intellectuelle et ses initiatives stratégiques.

L'entreprise engage activement les investisseurs pour fournir des éclaircissements sur sa performance financière et sa trajectoire de croissance, tout en maintenant son engagement envers la transparence et la responsabilité envers les actionnaires.

Alpha Modus Holdings (Nasdaq: AMOD) CEO William Alessi sprach über die jüngste Marktvolatilität und die SPAC-Fusion des Unternehmens und betonte, dass trotz dessen, was er als 'uninformierte Spekulation' bezeichnete, starke Fundamentaldaten vorliegen. Der CEO hob hervor, dass AMOD im Gegensatz zu typischen SPAC-Transaktionen prudente Abschlussbedingungen sicherte, ohne Verpflichtungsaktien oder nullkostenbasierten Warrants auszugeben, die einen Verkaufsanreiz bieten könnten.

Alessi stellte fest, dass das Unternehmen die bestehenden Sponsorengebühren neu verhandelt und die Aktienemissionen, wo möglich, reduziert hat. Während er anerkennt, dass spekulative Leerverkäufe temporären Marktgeräusche erzeugen können, betonte er, dass diese Aktivitäten nicht das operative Modell des Unternehmens, das IP-Katalog und die strategischen Initiativen widerspiegeln.

Das Unternehmen interagiert aktiv mit Investoren, um Klarheit über seine finanzielle Leistung und Wachstumsstrategie zu bieten und seinen Willen zur Transparenz und Verantwortlichkeit gegenüber den Aktionären aufrechtzuerhalten.

Positive
  • Secured prudent SPAC merger terms without dilutive commitment shares or zero-cost warrants
  • Renegotiated and reduced sponsor side fees and share issuances
  • Reports strong operational model and IP catalogue
Negative
  • Experiencing significant selling pressure and short-selling activity
  • Facing market volatility following SPAC merger
  • Dealing with what management describes as misconceptions affecting stock price

Insights

This strategic communication from Alpha Modus represents a critical juncture in the company's post-SPAC trajectory, with several noteworthy elements that distinguish it from typical de-SPAC scenarios. The company's deliberate structuring of its merger terms - specifically the absence of commitment shares and zero-cost basis warrants - represents a departure from conventional SPAC practices that often lead to immediate post-merger selling pressure.

The CEO's forceful pushback against short-selling activity is particularly significant in the context of the broader de-SPAC market, where approximately 70% of post-merger SPACs traditionally trade below their initial offering price. By highlighting their 'prudent closing terms' and renegotiated sponsor fees, management is drawing a clear distinction between AMOD and the wave of problematic SPAC mergers that characterized the 2021-2023 period.

The timing and tone of this communication suggest mounting pressure on the stock, but also reflect a management team confident enough to directly confront market skepticism - a strategy that carries both opportunities and risks. While such defensive posturing can sometimes backfire, the detailed explanation of their differentiated merger structure provides concrete support for their position.

The emphasis on 'uninformed speculation' and 'temporary noise' indicates management is positioning for a potential near-term catalyst or operational milestone that could challenge the bearish narrative. However, the lack of specific financial metrics or operational updates in this communication suggests the company may need to follow through with more substantive disclosures to fully regain market confidence.

CORNELIUS, N.C., Jan. 30, 2025 (GLOBE NEWSWIRE) -- Alpha Modus Holdings, Inc. (Nasdaq: AMOD) (“Alpha Modus”, “AMOD”, or the “Company”), in a statement today, through Alpha Modus CEO William Alessi, emphasized the company's strong fundamentals, ongoing growth strategy, and commitment to delivering value to shareholders amidst what he described as "uninformed speculation" by certain market participants.

"The recent sell side activity targeting AMOD stock appears to be driven by misconceptions and a lack of understanding about our business and long-term strategy coupled with the ‘de-SPAC norm,’” said Alessi. "This trend is emblematic of broader market dynamics in the SPAC environment, where some investors prioritize short-term speculation over informed, long-term investment. In recent years, it’s been the norm to compete for the exit door as so many of these SPAC transactions had finance structures surrounding the de-SPAC that encouraged selling. Unlike most SPAC transactions in recent years, we worked diligently to secure prudent closing terms in our merger. We did not allow the issuance of commitment shares or warrants at a zero-cost basis that would otherwise incentivize selling. We did just the opposite. We painfully renegotiated existing sponsor side fees and reduced share issuances to the extent we could.”

AMOD successfully transitioned from its SPAC merger to a publicly traded entity, a process that has unlocked new opportunities for growth and innovation. Despite these achievements, the CEO pointed out that management believes certain market players have underestimated the company’s robust operational model, IP catalogue and significant pipeline of strategic initiatives.

"While speculative short positions or reckless selling may create temporary noise, they do not reflect the reality of our business or the significant opportunities ahead for Alpha Modus in both the near and long term," Alessi continued. "We remain laser-focused on executing our strategy, which is built on strong fundamentals, a surgically precise plan, and a team of world-class talent to execute, which I suspect will create regret for the uninformed speculator in the near future."

The CEO also reassured shareholders and stakeholders of the company’s transparency and commitment to sustained growth. Alpha Modus is proactively engaging with its investor community to clarify misconceptions and provide deeper insights into its financial performance and growth trajectory.

"Our management team is confident in the value we are building for our shareholders," Alessi stated. "We encourage investors to look beyond the noise and recognize the strength of Alpha Modus’s vision, the quality of our assets, and the innovation driving our operations."

Alpha Modus remains steadfast in its mission to bring value to its shareholders and will continue to provide updates on its progress as part of its commitment to transparency and accountability.

About Alpha Modus

Alpha Modus engages in creating, developing and licensing data-driven technologies to enhance consumers’ in-store experience at the point of decision. Alpha Modus’s patent portfolio positions the Company as a leader in the evolving landscape of AI retail technology. With the ability to transform how consumers interact with brands at the point of sale, Alpha Modus is strategically positioned to capitalize on the increasing demand for AI-driven solutions that deliver measurable ROI for retailers and brands.

For additional information, please visit alphamodus.com.

Forward-Looking Statements

This press release includes “forward-looking statements” within the meaning of the “safe harbor” provisions of the United States Private Securities Litigation Reform Act of 1995. Alpha Modus’ actual results may differ from their expectations, estimates, and projections and, consequently, you should not rely on these forward-looking statements as predictions of future events. Words such as “expect,” “estimate,” “project,” “budget,” “forecast,” “anticipate,” “intend,” “plan,” “may,” “will,” “could,” “should,” “believes,” “predicts,” “potential,” “continue,” and similar expressions (or the negative versions of such words or expressions) are intended to identify such forward-looking statements, but are not the exclusive means of identifying these statements. These forward-looking statements include, without limitation, Alpha Modus’ expectations with respect to future performance.

Alpha Modus cautions readers not to place undue reliance upon any forward-looking statements, which speak only as of the date made. Alpha Modus does not undertake or accept any obligation or undertaking to release publicly any updates or revisions to any forward-looking statements to reflect any change in its expectations or any change in events, conditions, or circumstances on which any such statement is based.

Contacts:

Alpha Modus Holdings, Inc.

Investor Relations

ir@alphamodus.com

+1(704)252-5050

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FAQ

How did AMOD structure its SPAC merger differently from typical deals?

AMOD structured its SPAC merger without issuing commitment shares or zero-cost basis warrants, and renegotiated sponsor side fees and reduced share issuances to minimize selling incentives.

What is causing the current volatility in AMOD stock price?

According to CEO William Alessi, the volatility is caused by uninformed speculation, misconceptions about the business, and general market dynamics in the SPAC environment.

How is AMOD addressing current market concerns?

AMOD is proactively engaging with investors to clarify misconceptions, provide insights into financial performance, and emphasize its strong fundamentals and strategic initiatives.

What strategic assets does AMOD currently possess?

AMOD reports having a robust operational model, IP catalogue, and significant pipeline of strategic initiatives, though specific details were not provided in the release.

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