Lucosky Brookman Represents Univest Securities, LLC in $9.5 Million Public Offering
Algorhythm Holdings, Inc. (NASDAQ: RIME), a holding company focused on AI-driven technology and consumer electronics, has successfully closed a $9.5 million firm commitment registered public offering. The offering, which demonstrates continued investor confidence in the AI technology and consumer electronics sectors, consisted of 55,882,352 units priced at $0.17 per unit.
Each unit comprised one common share (or one pre-funded warrant) and two warrants: a Series A Warrant to purchase one common share at an exercise price of $0.17, and a Series B Warrant to purchase one common share at an exercise price of $0.34. The Series A Warrants have a five-year term from their initial exercise date, while the Series B Warrants expire after two and a half years from their initial exercise date. Both warrant series will become exercisable upon stockholder approval.
The net proceeds will support Algorhythm's strategic initiatives, including:
- Working capital requirements
- General corporate purposes
- Repayment of certain outstanding senior secured notes
The offering was conducted under Algorhythm's registration statement on Form S-1 (File No. 333283178). This financing positions Algorhythm to strengthen its market presence through its key investments in SemiCab Holdings, an AI-enabled global logistics platform, and The Singing Machine Company, a leader in the consumer karaoke industry.
Univest Securities, LLC acted as the sole placement agent for the offering. Lucosky Brookman LLP served as counsel to Univest Securities, LLC in this transaction.