{"schema_version":"secwatch.filing_event.v1","accession":"0001641172-25-025707","form_type":"8-K","ticker":"RIME","cik":"0000923601","company_name":"Algorhythm Holdings, Inc.","filed_at":"2025-08-27T23:59:59+00:00","discovered_at":"2026-05-14T18:02:46.716891+00:00","generated_at":"2026-05-17T09:52:45.811507+00:00","sec_items":["1.01","2.03","3.02","5.02","9.01"],"event_type":"debt","sentiment":"negative","materiality_score":0.8,"calibrated_materiality_score":0.8,"confidence":"high","headline":"Algorhythm enters $20M prepaid purchase with Streeterville; director Kling resigns","bullets":["Entered up to $20M prepaid purchase agreement with Streeterville; initial $4.39M at 9%, 3-yr maturity.","Net proceeds ~$4M after $360K OID and $30K expenses; used for working capital.","Issued 95,694 commitment shares; resale registration due within 30 days.","Additional purchases up to $3M outstanding, 9% OID; floor price at greater of 20% Nasdaq minimum or $0.10.","Director Joseph Kling resigned from board effective Aug 21, no disagreement."],"urls":{"canonical":"https://secwatch.observer/filing/0001641172-25-025707","json":"https://secwatch.observer/filing/0001641172-25-025707.json","markdown":"https://secwatch.observer/filing/0001641172-25-025707.md","text":"https://secwatch.observer/filing/0001641172-25-025707.txt","edgar_index":"https://www.sec.gov/Archives/edgar/data/923601/000164117225025707/0001641172-25-025707-index.htm","edgar_primary_document":"https://www.sec.gov/Archives/edgar/data/923601/000164117225025707/form8-k.htm"},"model":{"generated_by":"deepseek-v4-flash:cloud@v2","generated_at":"2026-05-17T09:52:45.811507+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":"c444e4ae454024efff8e95107f8b805e05375172","claim":"Algorhythm Holdings, Inc. incurred debt of $4,390,000 with Streeterville Capital, LLC at nine percent (9%) per annum maturing three years.","evidence_excerpt":"The Securities Purchase Agreement provides for an initial Pre-Paid Purchase in the principal amount of $4,390,000, before deducting an original issue discount of $360,000 and transaction expenses of $30,000 (the \"Initial Pre-Paid Purchase\"), the terms of which are set forth on secured prepaid purchase #1 (\"Secured Pre-Paid Purchase #1\"). The Initial Pre-Paid Purchase accrues interest at the rate of nine percent (9%) per annum and has a maturity date of three years.","evidence_source":"SEC 8-K Item 2.03/2.04","evidence_url":"https://www.sec.gov/Archives/edgar/data/923601/000164117225025707/0001641172-25-025707-index.htm","confidence":0.9,"family_label":"Debt Financings","details":[{"label":"Principal","value":"$4,390,000"},{"label":"Counterparty","value":"Streeterville Capital, LLC"},{"label":"Rate","value":"nine percent (9%) per annum"},{"label":"Maturity","value":"three years"},{"label":"Event","value":"incurrence"}],"fact_type":"debt_financing"}],"license":"Source filings: public domain (SEC EDGAR). Summaries (headline + bullets): CC-BY-4.0; attribute https://secwatch.observer"}