Algorhythm Holdings, Inc. 8-K

What Happened
Algorhythm Holdings, Inc. (Nasdaq: RIME) disclosed in an 8-K that on June 16, 2026 Nasdaq notified the company it no longer meets the $1.00 minimum bid price requirement under Nasdaq Listing Rule 5550(a)(2). Nasdaq’s determination was based on the closing bid price for 30 consecutive business days from May 4, 2026 through June 15, 2026. The company has a 180-calendar-day compliance period, until December 14, 2026, to regain compliance.

Key Details

• Nasdaq rule referenced: Listing Rule 5550(a)(2) (minimum $1.00 bid price).
• Measurement period: 30 consecutive business days (May 4, 2026 – June 15, 2026).
• Cure period: 180 calendar days (until December 14, 2026); compliance is met if closing bid ≥ $1.00 for at least 10 consecutive business days.
• Possible next steps: If not cured, the company may seek an additional 180-day period if it meets market-value and other listing standards and notifies Nasdaq (may require a reverse stock split). Trading continues under the ticker “RIME” during the compliance period.

Why It Matters
A notice of noncompliance is a formal warning that could lead to delisting if the company doesn’t restore its share price to Nasdaq’s minimum. For investors, this raises potential liquidity and listing-risk considerations: if delisted, shares could move to an over‑the‑counter market and experience wider spreads and lower visibility. The company said it will monitor the share price and consider options (including a reverse stock split) but gave no assurance it will regain compliance.