SCHEDULE: Algorhythm Holdings Stakeholders Exit Filing

Ionic Ventures, Ionic Management, Brendan O'Neil, and Keith Coulston have filed an exit statement indicating they no longer beneficially own more than 5% of Algorhythm Holdings' common stock.

Summary

• This filing is an exit statement from Ionic Ventures, LLC, Ionic Management, LLC, Brendan O'Neil, and Keith Coulston, collectively referred to as the Reporting Persons.
• The Reporting Persons have ceased to be the beneficial owner of more than five percent of the outstanding shares of Algorhythm Holdings, Inc. common stock.
• The total number of shares beneficially owned by each Reporting Person is 283,412, representing 1.9% of the class.
• This ownership is based on 14,651,665 shares of common stock outstanding as of March 27, 2026, as disclosed in Algorhythm Holdings' Form 10-K filed on April 2, 2026.
• The ownership calculation gives full effect to the exercise of Series A common stock purchase warrants held by Ionic Ventures.
• Ionic Ventures holds warrants exercisable for up to 283,412 shares of common stock.
• Ionic Ventures is deemed the beneficial owner of these 283,412 shares, with voting and disposition power exercised by its manager, Ionic Management.
• Brendan O'Neil and Keith Coulston, as managers of Ionic Management, have shared power to vote and/or dispose of the shares beneficially owned by Ionic and Ionic Management.
• Neither Mr. O'Neil nor Mr. Coulston directly owns the shares.
• The Reporting Persons have entered into a Joint Filing Agreement.

Sentiment

Score: 4

Explanation: StockSavvy.ai views this filing as neutral to slightly negative, as it signifies the exit of significant stakeholders, which can sometimes be interpreted as a lack of continued confidence, although the exact reasons are not disclosed.

Positives

• The Reporting Persons have exited their significant beneficial ownership position, which can sometimes signal confidence in the company's ability to manage its own affairs or a shift in investment strategy.
• The filing confirms the total outstanding shares of Algorhythm Holdings as of March 27, 2026, providing a clear basis for ownership calculations.

Negatives

• The exit of significant stakeholders, even if their ownership falls below the 5% threshold, could be interpreted negatively by the market, suggesting a lack of continued conviction.
• The specific reasons for this exit filing are not detailed, leaving room for speculation about the underlying motivations.

Risks

• The filing does not explicitly mention any risks. However, the exit of significant shareholders could potentially lead to increased share price volatility if the market interprets it as a negative signal.
• The reliance on warrants for beneficial ownership means that any changes in warrant value or exerciseability could impact the reported ownership figures.

Future Outlook

The filing itself is an exit statement and does not contain forward-looking statements or guidance from Algorhythm Holdings. The future outlook for the company would be derived from other SEC filings by the issuer.

Management Comments

• This constitutes an exit filing for the reporting person.
• The filing should not be construed in and of itself as an admission by any Reporting Person as to beneficial ownership of the shares of Common Stock reported herein.
• By signing below I certify that, to the best of my knowledge and belief, the securities referred to above were not acquired and are not held for the purpose of or with the effect of changing or influencing the control of the issuer of the securities and were not acquired and are not held in connection with or as a participant in any transaction having that purpose or effect, other than activities solely in connection with a nomination under ?? 240.14a-11.

Industry Context

StockSavvy.ai notes that Schedule 13G filings are typically made by institutional investors or other entities that beneficially own more than 5% of a company's voting stock. An 'exit filing' like this one indicates that these entities have reduced their holdings below this threshold, which can sometimes be a signal to the market.

Stakeholder Impact

• Shareholders: The exit of significant holders could lead to market speculation and potentially impact share price. Investors will monitor for any further disclosures or changes in ownership.
• Management: The company's management may need to address the market's perception of this exit and potentially seek new significant investors or focus on organic growth.
• Creditors: No direct impact is indicated, as the filing pertains to equity ownership and not debt.

Next Steps

• The Reporting Persons have completed their exit filing, indicating they no longer meet the threshold for significant beneficial ownership reporting.
• Algorhythm Holdings, Inc. will continue to file its regular periodic reports (e.g., 10-K, 10-Q) as required by the SEC.

Key Dates

Recommendation

This filing is an exit statement from significant beneficial owners, indicating they no longer hold over 5% of the company's stock. While this can sometimes be a negative signal, the filing does not provide specific reasons for the exit or any negative operational news from the company itself. Therefore, a 'hold' recommendation is appropriate pending further information or company disclosures.

Keywords

Schedule 13G, Algorhythm Holdings, Ionic Ventures, Ionic Management, Brendan O'Neil, Keith Coulston, Exit Filing, Beneficial Ownership, Securities Exchange Act, SEC Filing, Warrants, Common Stock