Alpha Modus Secures Patent Settlement with Adroit Worldwide Media, Advancing Multi-Jurisdictional IP Monetization

Rhea-AI Summary

Alpha Modus (NASDAQ: AMOD) resolved its patent infringement lawsuit against Adroit Worldwide Media in the U.S. Central District of California. All claims are dismissed with prejudice under a confidential settlement agreement.

The resolution adds to prior multi-jurisdictional settlements, supporting Alpha Modus's strategy of structured, disciplined intellectual property enforcement in in-store AI and retail media.

AI-generated analysis. Not financial advice.

Positive

• Patent dispute with Adroit Worldwide Media resolved via confidential settlement
• All claims dismissed with prejudice in U.S. Central District of California
• Adds to multiple recent patent enforcement resolutions in in-store AI and retail media

Negative

• None.

News Market Reaction – AMOD

-4.02%

1 alert

-4.02% News Effect

-$477K Valuation Impact

$11.40M Market Cap

1.54K Volume

On the day this news was published, AMOD declined 4.02%, reflecting a moderate negative market reaction. This price movement removed approximately $477K from the company's valuation, bringing the market cap to $11.40M at that time.

Data tracked by StockTitan Argus on the day of publication.

Key Figures

Operating loss: $5,244,188 Net cash used in operations: $3,210,182 Shares outstanding: 50,522,967 shares +5 more

8 metrics

Operating loss $5,244,188 Full year 2025, disclosed in 10-K referenced in 424B3

Net cash used in operations $3,210,182 Full year 2025, disclosed in 10-K referenced in 424B3

Shares outstanding 50,522,967 shares As of March 30, 2026 per 424B3

ATM offering size $3,500,000 At-the-market common stock program via H.C. Wainwright & Co.

ATM commission 3.0% Sales agent commission on gross proceeds in ATM program

Current shares outstanding 41,959,958 shares As of January 2, 2026 in ATM prospectus

Potential new shares 7,575,757 shares Maximum issuable under ATM at illustrative $0.462 price

Pro forma share count 49,535,715 shares Total if all ATM shares issued at illustrative price

Market Reality Check

Price: $0.2115 Vol: Volume 2,099,212 is about...

normal vol

$0.2115 Last Close

Volume Volume 2,099,212 is about 0.75x the 20-day average of 2,808,500, indicating subdued trading interest pre-announcement. normal

Technical Shares at $0.224 trade below the $0.76 200-day MA and far under the $2.60 52-week high, only modestly above the $0.1972 52-week low.

Peers on Argus

AMOD’s positive move contrasts with mixed peers: within its group, names like BM...

2 Up

AMOD’s positive move contrasts with mixed peers: within its group, names like BMR (+2.16%) and NUKK (+6.19%) were up while others were down. Momentum scanners also flagged NTCL and WETO moving up, but with no shared news theme. Overall action points to stock-specific trading around AMOD’s patent settlement rather than a broad sector rotation.

Historical Context

5 past events · Latest: May 07 (Positive)

Pattern 5 events

Date	Event	Sentiment	Move	Catalyst
May 07	Alpha Cash pilot	Positive	+4.3%	Signed multi-year Alpha Cash pilot with SurgePays for up to 25,000 activations.
Apr 29	Distribution partnership	Positive	-11.0%	InComm Payments deal to enable cash loads at over 90,000 U.S. retail locations.
Apr 24	Enforcement expansion	Positive	-8.4%	Launched second phase of AI retail patent enforcement with suit against Circle K.
Apr 13	Capital restructuring	Positive	+7.9%	Exchange reduced Series C preferred overhang and aimed to support Nasdaq compliance.
Apr 01	Patent issuance	Positive	+1.2%	USPTO issued new patent covering AI-driven, in-store personalized marketing in retail.

Pattern Detected

Recent news shows AMOD often trading higher on balance-sheet cleanup and IP milestones, but partner and enforcement news have produced mixed reactions with both rallies and selloffs.

Recent Company History

Over the past weeks, AMOD combined IP enforcement with balance-sheet restructuring and product expansion. On April 1, it highlighted a new foundational AI retail patent, followed by an enforcement phase against Circle K on April 24. A key step came on April 13 with a preferred exchange removing about $37 million in callable securities. Subsequent partnerships with InComm and SurgePays expanded Alpha Cash distribution. Today’s patent settlement fits the pattern of monetizing its retail AI IP while building commercial channels and cleaning up the capital structure.

Regulatory & Risk Context

Active S-3 Shelf · $250,000,000

Shelf Active

Active S-3 Shelf Registration 2026-01-07

$250,000,000 registered capacity

AMOD has an effective Form S-3 shelf filed on 2026-01-07, registering up to $250,000,000 of Class A common stock, warrants and/or units, including an at-the-market program of up to $3,500,000. The shelf, already used via multiple 424B3 supplements, provides substantial flexibility for future equity issuance and potential dilution.

Market Pulse Summary

This announcement resolves a U.S. patent infringement case with Adroit Worldwide Media through a con...

Analysis

This announcement resolves a U.S. patent infringement case with Adroit Worldwide Media through a confidential settlement and dismissal with prejudice, reinforcing AMOD’s multi-jurisdictional IP enforcement campaign. It follows recent patent issuances and new suits in AI-driven retail. Investors may track how consistently such settlements translate into licensing revenue, while also monitoring capital needs highlighted by prior going-concern language and significant issuance capacity under the $250,000,000 Form S-3 shelf registration.

Key Terms

at-the-market offering, shelf registration, prospectus supplement, form s-1, +4 more

8 terms

at-the-market offering financial

"is launching an at-the-market offering of its common stock of up to"

An at-the-market offering is a method companies use to sell new shares of stock directly into the open market over time, rather than all at once. This allows them to raise money gradually, similar to selling small pieces of a product instead of a large batch. For investors, it means the company can access funding more flexibly, but it may also increase the supply of shares and influence the stock’s price.

shelf registration regulatory

"has filed a shelf registration to offer and sell up to"

Shelf registration is when a company gets permission ahead of time to sell new stocks or bonds over a period of time instead of all at once. It matters to investors because it lets a company raise money quickly when needed, but it can also change the value of existing shares if many new ones are sold.

prospectus supplement regulatory

"files a prospectus supplement to its Form S-1 that updates the offering"

A prospectus supplement is an additional document provided alongside a company's main offering details, offering updated or extra information about a specific financial product being sold. It helps investors understand the latest terms, risks, and details of the investment, similar to how an update or revision clarifies or expands on original instructions, ensuring they have current and complete information before making a decision.

form s-1 regulatory

"prospectus supplement to its Form S-1 that updates the offering materials"

A Form S-1 is the registration filing a company submits to the U.S. Securities and Exchange Commission when it plans to offer stock to the public, most commonly for an initial public offering. Think of it as the company’s full disclosure packet or blueprint: it contains audited financials, business description, management background, risk factors and details of the offering, giving investors the information needed to judge the company’s financial health and potential risks before buying shares.

form 10-k regulatory

"with its Annual Report on Form 10-K for the year ended"

A Form 10-K is a comprehensive report that publicly traded companies are required to file annually with regulators. It provides a detailed overview of a company's financial health, operations, and risks, similar to a detailed health report. Investors use this information to assess the company's performance and make informed decisions about buying or selling its stock.

going concern financial

"The report discloses an operating loss ... and a going-concern qualification"

A going concern is a business that is expected to continue its operations and meet its obligations for the foreseeable future, rather than shutting down or selling off assets. This assumption matters to investors because it indicates stability and ongoing profitability, making the business a more reliable investment. Think of it as believing a restaurant will stay open and serve customers, rather than closing down suddenly.

warrants financial

"shares of Series C Preferred Stock and 5,789,417 warrants exercisable at"

Warrants are special documents that give you the right to buy a company's stock at a set price before a certain date. They are often used as a way for companies to attract investors or raise money, and their value can increase if the company's stock price goes up.

nasdaq listing rule 5635(d) regulatory

"amounts that implicate NASDAQ Listing Rule 5635(d)."

Nasdaq Listing Rule 5635(d) is a stock-exchange rule that determines when a company must get shareholder approval before issuing new shares tied to conversions or exercises of existing convertible securities, options or warrants. It matters to investors because it controls potential dilution of their holdings and changes in voting power—think of it like a rule that decides whether a previously agreed‑upon coupon can be redeemed without asking the group again.

AI-generated analysis. Not financial advice.

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CORNELIUS, N.C., May 15, 2026 (GLOBE NEWSWIRE) -- Alpha Modus Holdings, Inc. (NASDAQ: AMOD) today announced the resolution of its patent infringement lawsuit against Adroit Worldwide Media, Inc., filed in the United States District Court for the Central District of California (Case No. 8:25-cv-02471-DFM).

The complaint, filed November 3, 2025, alleged infringement of Alpha Modus's patented technologies covering real-time consumer behavior analysis and in-store digital engagement. Adroit Worldwide Media operates in the digital out-of-home and in-store media sector, an area squarely addressed by Alpha Modus's growing consumer-centric intellectual property portfolio.

All claims between the parties have been resolved. A joint stipulation of dismissal with prejudice was filed May 14, 2026, pursuant to the terms of a confidential settlement agreement.

“Our enforcement campaign has been deliberate and geographically consistent,” said William Alessi, Chief Executive Officer of Alpha Modus Holdings, Inc. “Resolving this matter in the Central District of California, alongside prior resolutions in other jurisdictions, reflects the breadth of our portfolio and the discipline we bring to every case. We have established enforcement credibility through execution, and we intend to maintain it.”

As previously announced, Alpha Modus has resolved multiple patent enforcement actions over the past several months across the in-store AI and retail media landscape. The company continues to pursue a structured and disciplined approach to intellectual property enforcement and expects to advance additional actions where its patented technologies are at issue.

About Alpha Modus Holdings

Alpha Modus Holdings, Inc. ("Alpha Modus" or the "Company") (NASDAQ: AMOD) is a vertical AI company focused on real-time, in-store shopper engagement and attribution. Its patented "closed-loop" retail AI framework, Sense → Decide → Deliver → Attribute, enables brands and retailers to measure the full impact of digital content, physical interactions, and transaction outcomes. Through subsidiaries like Alpha Modus Financial Services, the company is actively deploying technologies that merge artificial intelligence, retail media, and financial access across the physical retail landscape.

Learn more at www.alphamodus.com.

Explore our patent portfolio at alphamodus.com/what-we-do/patent-portfolio/.

Read the latest news in our press room at alphamodus.com/press-room/.

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's 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's expectations with respect to future performance.

Alpha Modus Holdings, Inc. ("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.

Contact Information
Investor Relations
Alpha Modus Holdings, Inc.
Email: ir@alphamodus.com
Website: www.alphamodus.com

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FAQ

What did Alpha Modus (NASDAQ: AMOD) announce on May 15, 2026 about its patent case?

Alpha Modus announced it resolved its patent infringement lawsuit against Adroit Worldwide Media, with all claims dismissed with prejudice. According to Alpha Modus, the resolution follows a confidential settlement agreement and supports its broader IP enforcement program.

How was the Alpha Modus (AMOD) patent lawsuit against Adroit Worldwide Media resolved?

The Alpha Modus lawsuit against Adroit Worldwide Media was resolved through a confidential settlement agreement and a joint stipulation of dismissal with prejudice. According to Alpha Modus, this fully resolves all claims between the parties in the Central District of California case.

What does the Adroit Worldwide Media settlement mean for Alpha Modus (AMOD) IP strategy?

The settlement supports Alpha Modus’s structured IP enforcement strategy across in-store AI and retail media. According to Alpha Modus, resolving this case alongside prior settlements reflects portfolio breadth and reinforces its intent to pursue additional actions where its patented technologies are at issue.

Which technologies were at issue in Alpha Modus (AMOD) vs Adroit Worldwide Media?

The case involved Alpha Modus patented technologies for real-time consumer behavior analysis and in-store digital engagement. According to Alpha Modus, these areas align with its consumer-centric intellectual property portfolio focused on digital out-of-home and in-store media environments.

How does the May 2026 settlement fit into Alpha Modus (AMOD) multi-jurisdictional enforcement?

The May 2026 settlement is part of Alpha Modus’s broader, geographically consistent patent enforcement campaign. According to Alpha Modus, it follows multiple recent resolutions in other jurisdictions and demonstrates ongoing execution of its disciplined intellectual property monetization strategy.