Algorhythm Holdings reviews strategic options for SemiCab unit

Algorhythm Holdings, Inc. (NASDAQ: RIME) announced it is evaluating strategic alternatives for its SemiCab logistics business, including continued operation, a spin-off, or a sale of the unit.

The review of SemiCab comes as the company separately considers a potential business combination with an unnamed company in the energy infrastructure market supporting data centers. If completed, that transaction would make the energy business Algorhythm's principal operating business.

Chief Executive Officer Gary Atkinson said the company has received indications of interest from multiple parties regarding a potential purchase of SemiCab. "We have grown SemiCab significantly in less than two years and see tremendous growth opportunities for it," Atkinson said in a statement.

SemiCab operates as an AI-powered logistics technology platform with customers that include Fortune 500 and multinational enterprise clients in India, according to the company.

Algorhythm said it has not entered into a binding definitive agreement regarding either the energy company acquisition or any strategic alternative for SemiCab. The company noted there is no assurance that any transaction will be completed.

Any potential transaction would be subject to definitive agreements, due diligence, board and shareholder approvals, regulatory and Nasdaq compliance, and customary closing conditions.

You May Also Be Interested In

• Agnico Eagle subsidiary adds to Canada Nickel stake via private placement
• Canada invests CAD $195M in Xanadu for quantum manufacturing
• Zentek shares to move from Nasdaq to OTC Markets on Sept. 2