Form 4: Algorhythm Holdings Director Jay B. Foreman Sells Shares Back to Issuer

Jay B. Foreman, a director of Algorhythm Holdings, sold 5,494 shares of common stock back to the issuer via Regalia Ventures LLC.

Summary

• On February 18, 2025, Jay B. Foreman, a director of Algorhythm Holdings, Inc. (RIME), sold 5,494 shares of common stock back to the company.
• The transaction was executed through Regalia Ventures LLC, an entity wholly owned by Mr. Foreman.
• The issuer repurchased the shares under a Stock Repurchase Agreement dated November 1, 2024.
• The repurchase was in exchange for a promissory note with a principal amount of $472,527.43.
• The promissory note bears interest at 10% per annum, payable monthly, with the principal and outstanding interest due on demand from Regalia Ventures LLC.
• Following the transaction, Mr. Foreman directly owns 254 shares of Algorhythm Holdings, Inc.

Sentiment

Score: 5

Explanation: Neutral sentiment as it reports a transaction without expressing positive or negative views. The transaction itself (share repurchase) could be viewed as either positive or negative depending on the context and investor perspective.

Industry Context

Share repurchases can be a way for companies to return value to shareholders or to consolidate ownership. Insider sales, even back to the company, are often scrutinized by investors.

Related Party Transactions

• The stock repurchase from Regalia Ventures LLC, an entity wholly owned by director Jay B. Foreman, constitutes a related party transaction.

Stakeholder Impact

• Shareholders may be impacted by the share repurchase, depending on their perspective of the company's use of funds and the potential dilution or consolidation of ownership.
• The promissory note issued to Regalia Ventures LLC creates a liability for the company, potentially impacting its financial flexibility.

Key Dates

Keywords

Form 4, Algorhythm Holdings, RIME, Jay B. Foreman, Regalia Ventures LLC, Stock Repurchase, Director, Share Sale