Watch for any notice of acceleration or legal action from SemiCab. If the seller demands full payment, the company may need to raise capital or restructure, potentially causing significant dilution or distress. The stock is likely to face selling pressure.
Price Chart
Executive Summary
Algorhythm Holdings defaulted on a $1.5M payment due under a promissory note to SemiCab Inc., triggering an event of default and an interest rate increase from 6% to 8%. The note's total principal is $1.75M, and the seller retains the right to accelerate all amounts due. This is a material liquidity event for the $11M market cap company.
Key Facts
- Company failed to make $1,500,000 Initial Payment due May 2, 2026 under a $1,750,000 promissory note to SemiCab Inc.
- Event of default triggered; interest rate on the Initial Payment increased from 6% to 8% per annum.
- Seller has right to declare all outstanding amounts immediately due and payable upon written notice; no remedies exercised as of filing date.
- Remaining $250,000 payment is due November 2, 2026.
Financial Impact
Default on $1.5M payment (13.6% of market cap) with potential acceleration of entire $1.75M note and increased interest costs.
Risk Factors
- Acceleration of the full $1.75M note could strain liquidity and force dilutive financing.
- Potential litigation or default on remaining obligations.
- Loss of credibility with vendors and partners.
Market Snapshot
Investment Themes
Documents Analyzed
This report is based on 4 SEC documents filed with EDGAR.
| Document | Accession Number |
|---|---|
| 8-K Filing (Primary) | 0001493152-26-021727 |
| Document: 0001493152-26-021727-index-headers.html | 0001493152-26-021727 |
| Document: 0001493152-26-021727-index.html | 0001493152-26-021727 |
| Document: 0001493152-26-021727.txt | 0001493152-26-021727 |
Filters
| Type | Now | ||||
|---|---|---|---|---|---|
Oct 19, 2026 7d ago | SC 13G | $0.1032 | awaiting T+60 | — | $0.1011 (−2.03%) |
Oct 7, 2026 19d ago | 3 | $0.1400 | awaiting T+60 | — | $0.1011 (−27.79%) |
Sep 21, 2026 5w ago | 8-K | $0.1835 | awaiting T+60 | — | $0.1011 (−44.90%) |
Aug 14, 2026 10w ago | Press Release | $0.3751 | awaiting T+60 | — | $0.1011 (−73.05%) |
Jun 22, 2026 18w ago | 8-K | $0.6600 $0.1950 | ▲ +70.45% | ▲ +73.70% | $0.1011 (+84.68%) |
Jun 18, 2026 18w ago | 8-K | $0.6400 $0.2173 | ▲ +66.05% | ▲ +67.79% | $0.1011 (+84.20%) |
Jun 4, 2026 20w ago | EFFECT | $0.7300 $0.2608 | ▲ +64.27% | ▲ +66.16% | $0.1011 (+86.15%) |
May 21, 2026 22w ago | 8-K | $0.7400 $0.3151 | ▼ −57.42% | ▼ −60.61% | $0.1011 (−86.34%) |
May 12, 2026 24w ago | Press Release | $0.7600 | awaiting T+60 | — | $0.1011 (−86.70%) |
May 8, 2026 24w ago | S-1/A | $0.6100 $0.4036 | ▲ +33.84% | ▲ +38.23% | $0.1011 (+83.43%) |
US Market Status
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