Alzamend (ALZN) insider converts preferred, sells 121,791 shares
Rhea-AI Filing Summary
Milton C. Ault III, a director of Alzamend Neuro, Inc. (ALZN), reported a series of transactions in early October 2025. On 10/08/2025 he converted Series B convertible preferred shares into 61,743 shares of common stock at a conversion price of $2.32, increasing the indirect holdings reported for Ault Lending, LLC to 130,591 shares. That same day he sold 101,394 shares in open-market transactions at a volume-weighted average price of $2.4376 (trade range $2.42–$2.4634).
On 10/09/2025 he sold an additional 20,397 shares at $2.3234, leaving Ault Lending, LLC with 8,260 indirectly held shares. The filing also shows other indirect holdings: 11,068 shares via Ault Life Sciences, Inc. and 61 shares via Ault Life Sciences Fund, LLC, plus several warrants totaling 23,334 underlying common shares across three warrant issuances.
Positive
- Conversion of Series B preferred into 61,743 common shares increased transparency of share structure
- Sales disclosed with VWAP ($2.4376) and price range, providing clear execution data
Negative
- Large open-market sales totaled 121,791 shares across 10/08/2025–10/09/2025, reducing Ault Lending's indirect holdings to 8,260 shares
- Concentration of holdings shifted to multiple affiliated entities, which may complicate voting/ownership clarity
Insights
Insider converted preferred shares then conducted sizable open-market sales over two days.
The conversion on 10/08/2025 increased common shares by 61,743, and immediate open-market sales of 101,394 shares that day (VWAP $2.4376) plus 20,397 shares on 10/09/2025 reduced the indirect holding of Ault Lending, LLC to 8,260 shares. These transactions are reported as direct dispositions from the reporting person and as indirect beneficial ownership for affiliated entities.
Such activity can affect near-term free float and signals liquidity actions by a major insider. Monitor subsequent filings for additional conversions, sales, or explanations and note the reported sale prices and volumes for immediate market impact over the 10/08/2025–10/09/2025 window.
Insider Trade Summary
| Type | Security | Shares | Price | Value |
|---|---|---|---|---|
| Sale | Common Stock | 20,397 | $2.3234 | $47K |
| Conversion | Series B Convertible Preferred Stock | 143.245 | $1,000.00 | $143K |
| Conversion | Common Stock | 61,743 | $2.32 | $143K |
| Sale | Common Stock | 101,394 | $2.4376 | $247K |
| holding | Common Stock Purchase Warrants | -- | -- | -- |
| holding | Common Stock Purchase Warrants | -- | -- | -- |
| holding | Common Stock Purchase Warrants | -- | -- | -- |
| holding | Common Stock | -- | -- | -- |
| holding | Common Stock | -- | -- | -- |
| holding | Common Stock | -- | -- | -- |
Footnotes (1)
- Represents shares of common stock received upon conversion of Series B convertible preferred stock ("Series B Preferred"). Ault Lending, LLC ("Ault Lending"), is a wholly-owned subsidiary of Hyperscale Data, Inc. ("HSD"). Milton C. Ault, III, the Executive Chairman of HSD, is deemed to have voting and investment power with respect to the securities held of record by Ault Lending. The common stock was sold by the reporting person in open market transactions on the transaction date, with a volume weighted average sale price of $2.4376. The range of sales prices on the transaction date was $2.42 to $2.4634 per share. The reporting person undertakes to provide, upon request by the SEC staff, the issuer, or a security holder of the issuer, full information regarding the number of shares sold at each price. Mr. Ault has sole voting and investment power with respect to the securities held of record by Ault Life Sciences, Inc. Mr. Ault has sole voting and investment power with respect to the securities held of record by Ault Life Sciences Fund, LLC. The Conversion Price of the Series B Preferred is subject to adjustment as set forth in that certain Designation of Preferences, Rights and Limitations of the Series B Convertible Voting Preferred Stock. The shares of Series B Preferred have no expiration date.
