{"schema_version":"secwatch.filing_event.v1","accession":"0001641172-25-022621","form_type":"8-K","ticker":"RIME","cik":"0000923601","company_name":"Algorhythm Holdings, Inc.","filed_at":"2025-08-07T23:59:59+00:00","discovered_at":"2026-05-14T18:02:46.716730+00:00","generated_at":"2026-05-17T18:46:42.779042+00:00","sec_items":["1.01","2.01","7.01","9.01"],"event_type":"m_and_a","sentiment":"positive","materiality_score":0.8,"calibrated_materiality_score":0.8,"confidence":"high","headline":"Algorhythm sells Singing Machine karaoke business to Stingray for $4.5M, eliminates $4M liabilities","bullets":["Transaction closed Aug 1, 2025; consideration of $4.5M includes cash and assumption of ~$4M in liabilities, vastly de-levering balance sheet.","Annual cash burn reduced by over 70% after sale of consumer electronics division; US headcount eliminated.","SemiCab AI freight platform annualized revenue run rate tripled to ~$7M since January 2025; company now focusing capital there.","Related-party transaction: director Mathieu Peloquin is an officer of Stingray Group; board including disinterested directors approved the deal.","Pro forma financial information to be filed within 71 days per SEC requirements."],"urls":{"canonical":"https://secwatch.observer/filing/0001641172-25-022621","json":"https://secwatch.observer/filing/0001641172-25-022621.json","markdown":"https://secwatch.observer/filing/0001641172-25-022621.md","text":"https://secwatch.observer/filing/0001641172-25-022621.txt","edgar_index":"https://www.sec.gov/Archives/edgar/data/923601/000164117225022621/0001641172-25-022621-index.htm","edgar_primary_document":"https://www.sec.gov/Archives/edgar/data/923601/000164117225022621/form8-k.htm"},"model":{"generated_by":"deepseek-v4-flash:cloud@v2","generated_at":"2026-05-17T18:46:42.779042+00:00"},"review":{"review_status":"machine_generated","human_reviewed":false,"corrected":false,"correction_note":null,"correction_timestamp":null,"superseded_by":null,"related_filings":[]},"source_grounded_claims":[{"claim_id":"4a46d3296a8bfec42b8a25a548913ee60ba1c8a7","claim":"Algorhythm Holdings, Inc. completed a disposition involving The Singing Machine Company, Inc. and Stingray Music USA, Inc. for for $500,000 (closed 2025-08-01).","evidence_excerpt":"On August 1, 2025, Algorhythm Holdings, Inc. (the “Company”) entered into an asset purchase agreement (the “Agreement”) with The Singing Machine Company, Inc. and Stingray Music USA, Inc. (“Stingray USA”), a related party, pursuant to which Stingray USA purchased substantially all of the assets, and assumed most of the liabilities, associated with the Company’s Singing Machine business (the “Business”) for $500,000.","evidence_source":"SEC 8-K Item 2.01/5.01","evidence_url":"https://www.sec.gov/Archives/edgar/data/923601/000164117225022621/0001641172-25-022621-index.htm","confidence":0.9,"family_label":"M&A Transactions","details":[{"label":"Action","value":"disposition"},{"label":"Counterparty","value":"The Singing Machine Company, Inc. and Stingray Music USA, Inc."},{"label":"Consideration","value":"for $500,000"},{"label":"Closing","value":"2025-08-01"}],"fact_type":"ma_transaction"}],"license":"Source filings: public domain (SEC EDGAR). Summaries (headline + bullets): CC-BY-4.0; attribute https://secwatch.observer"}