Algorhythm Eliminates Restrictive Series A Preferred Stock, Improving Financing and Transaction Flexibility

* Company Exchanges Series A Preferred Stock for Debt, Eliminating Financing and Transaction Restrictions * New Structure Provides Greater Flexibility to Pursue Lower-Cost Financing Alternatives. Fort Lauderdale, FL, Sept. 23, 2026 (GLOBE NEWSWIRE) -- Algorhythm Holdings, Inc. (the “Company”) (NASDAQ: RIME) – a diversified holding company that owns and operates Azure Energy, a renewable power infrastructure developer, and SemiCab, an AI-enabled logistics technology business, today announced the retirement of all of its outstanding shares of Series A Preferred.

The Company exchanged the Series A Preferred Stock for debt. The restructuring was negotiated in connection with the holder's consent to the Company's recently completed acquisition of Azure Energy. Pursuant to the transaction, the Series A Preferred Stock was retired in full and exchanged for approximately $4 million of debt. Management believes that the restructuring represents an important step in improving the Company’s financial and transactional flexibility.