# Algorhythm Holdings Outlines Up to $70 Million Sale Plan for Biomass Asset

- URL: https://stocks.freetheai.org/news/algorhythm-holdings-outlines-up-to-70-million-sale-plan-for-biomass-asset-284f3d
- Published: 2026-10-13T13:15:00Z
- Category: company_news; sentiment: mixed; impact: medium
- Symbols: [NASDAQ:RIME](https://stocks.freetheai.org/symbols/NASDAQ-RIME)
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Algorhythm Holdings, Inc. (RIME) has outlined financial strategies for its 100-megawatt biomass project located in North Carolina. The company indicated that a potential sale of the asset during late-stage permitting could reach up to $70 million, yielding about $7 million in equity proceeds for Azure.

If the asset is sold, the direct equity cash proceeds could help strengthen the balance sheet and fund future development projects. Alternatively, if Algorhythm retains a minority stake rather than selling, the project is projected to deliver more than $4 million per year in earnings before interest, taxes, depreciation, and amortization starting in late 2028. Additionally, Azure expects to generate approximately $3 million in fee income in 2027.

Investors will be watching for the start of the formal marketing process, which is set to begin by the end of the fourth quarter of 2026. The initial 50-megawatt phase is estimated to take around 24 months to complete, making timely permitting and construction execution key factors to track.

## Key points

- Algorhythm Holdings detailed monetization options for a 100MW biomass project in North Carolina.
- A full project sale could reach up to $70 million, providing around $7 million in equity proceeds for Azure.
- Azure anticipates receiving about $3 million in fee income from the project in 2027.
- Retaining a minority stake could produce over $4 million in annual EBITDA starting late 2028.
- The formal marketing process for the project is scheduled to begin by the end of Q4 2026.

## Questions and answers

### What is the valuation estimate for Algorhythm Holdings biomass project?

A potential sale of the 100-megawatt biomass project during late-stage permitting could be worth up to $70 million, yielding about $7 million in equity proceeds for Azure.

### When will Algorhythm Holdings start marketing the biomass project?

The marketing process for the biomass project is scheduled to begin by the end of the fourth quarter of 2026.

### What cash flow could the project generate if it is not sold?

If not sold, a minority stake in the project could produce over $4 million per year in EBITDA starting in late 2028, alongside approximately $3 million in fee income expected for Azure in 2027.