ALPHA MODUS TOOK IN 3,170 BITCOIN ON SEPTEMBER 30 — ON OCTOBER 21 IT AGREED TO SELL 6.3 MILLION NEW SHARES AT $1.15 TO PAY DEBT — ITS OWN FILING PUTS BOOK VALUE AT $4.22 A SHARE AFTER THE SALE
On September 30, Alpha Modus, a Nasdaq-listed retail data and patent company in North Carolina, took in 3,170 bitcoin. It paid with 51,621,560 new shares and the same number of warrants with a $4.36 exercise price. At June 30 the whole company had 4,933,091 shares. On October 21 it agreed to sell 6,304,348 more shares to one institutional investor at $1.15 each, about $7.25 million before fees. The filing says the money goes to "the payment of debt," plus working capital and general corporate purposes.
The press release gives the price and the use of the money. The prospectus supplement goes further and does the math on what a share is backed by. Counting the bitcoin deal, it puts net tangible book value at $4.58 a share before the sale and $4.22 after. The buyer paying $1.15 gets what the filing calls "an immediate gain of $3.07 per share." Everyone already holding the stock loses $0.36 a share. Those are pro forma figures as of June 30, so they move with the price of bitcoin.
So who pays? Mostly the ten investors who sent the bitcoin. Their 51,621,560 shares were 89.75% of the 57,515,785 outstanding on October 21. After the sale they're 80.89%. The company is raising about $6.65 million in cash this way, and the filing doesn't say any of the 3,170 coins will be sold or borrowed against to cover the debt instead. The company had $9.54 million of liabilities at June 30. Selling stock at 27% of the filing's own book value to pay debt moves value from the old holders to the new buyer, and the filing puts that cost at $0.36 a share.
On October 1 we reported that the 3,170 coins went to AMOD Tech Pte. Ltd., a newly formed Singapore subsidiary, and that the closing filing named no custodian. The new supplement and the October 13 resale filing for the investors' shares still don't name one or say who holds the keys. A share bought at $1.15 is a claim on a company that owns a company that controls the coins, and its auditor flagged substantial doubt about its ability to continue as a going concern in its 2025 report. CEBE doesn't track Alpha Modus, so these numbers come from the filings alone. At the time of this writing, bitcoin was $81,256.