Company: SLNH
Filing Date: 2025-02-03
Form Type: S-1/A
Source: 0001493152-25-004555
Chunk: 291

Company: Soluna Holdings, Inc
Filing Date: 2025-02-03
Form: S-1/A
Chunk 291
---
4 and December 31, 2023. The Company does not plan to draw down on the line of credit in the foreseeable future. In addition, future drawdowns require pre-approval by KeyBank.

8.Stockholders’ Equity

Preferred Stock

The Company has two series of preferred stock outstanding: theSeries A Preferred Stock, with a $ 25.00liquidation preference; and the Series B Convertible Preferred Stock, par value $ 0.0001per share (the “Series B Preferred Stock”).
As of September 30, 2024 and December 31, 2023, there were 4,953,545and 3,061,245shares of Series A Preferred Stock issued and outstanding, respectively, and as of September 30, 2024 and December 31, 2023 there
was 62,500shares of SeriesB Preferred Stock issued and outstanding, respectively.

Series B Preferred Stock

On July 19, 2022, the Company entered into a Securities Purchase Agreement (the “Series B SPA”) with an accredited investor (the “Series B Investor”) pursuant to which the Company sold to the Series B Investor 62,500shares of Series B Preferred Stock, for a purchase price of $ 5,000,000. The shares of Series B Preferred Stock are initially convertible, subject to certain conditions, into 46,211shares of common stock, at a price per share of $ 135.25per share, a 20% premium to the closing price of the common stock on July 18, 2022, subject to adjustment as set forth in the Certificate of Designations of Preferences, Rights and Limitations for the Series B Preferred Stock (“Series B Certificate of Designations”).On October 1, 2024, the Company agreed, as a condition of a waiver of the Series B Investor’s’ right of first refusal and participation rights in connection with the SEPA, to reduce the conversion price to $ 5.00upon stockholder approval.

In addition, in 2022, the Company issued to the Series B Investor 60,000common stock purchase warrants (the “Series B Warrants”) to purchase up to an aggregate of shares of common stock. In connection with the above referenced waiver, the exercise price of these warrants was reduced to $ 0.01per share and an additional 140,000warrants exercisable for $ 0.01per share were issued. The Series B Investor is entitled