Company: SLNH
Filing Date: 2025-11-14
Form Type: 10-Q
Source: 0001493152-25-023503
Chunk: 30

Company: Soluna Holdings, Inc
Filing Date: 2025-11-14
Form: 10-Q
Item: Part I, Item 1
Chunk 30
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 “Sales Period”) to sell the 1,000,000 shares to reduce the outstanding principal balance, or would have to return the
shares.

    18

July
2024 Additional Secured Note

Schedule
of Additional Secured Note Financing 

    (Dollars in thousands) 
    Maturity
    Date 
    Interest
    Rate  
    January
    1, 2025- September 30, 2025  
    July
    12, 2024- December 31, 2024 
  
    Term Loan and capitalized interest
    (excludes debt issuance cost) 
    July 12, 2027* 
     9% 
    $1,209  
    $1,278 
  
    Less: principal and capitalized interest payments 

     (658) 
     (69)
  
    Debt discount 

     -  
     (7)
  
    Gain on extinguishment 

     (551) 
     - 
  
    Total outstanding debt 

    $-  
    $1,202 

    *
    On
    March 14, 2025, the Company satisfied the assignment and assumption agreement, as such a gain on extinguishment was recorded.

On
July 12, 2024, the Company, CloudCo, Soluna Cloud, and the Investor entered into a First Amendment to the Note Purchase Agreement (the
“June SPA Amendment”). This amendment allows CloudCo to issue additional secured promissory notes totaling $1.25 million
(the “Additional Notes”) to new accredited investors (the “Additional Investors”). These Additional Notes are
subject to the same terms and conditions as the June SPA financing.

To
further incentivize the Additional Investors, Soluna Cloud issued warrants (the “Cloud Additional Warrants”) to each Additional
Investor. These Cloud Additional Warrants are exercisable within three years from the effective date of the June SPA Amendment. They
allow the purchase of a number of shares of Soluna Cloud common stock equal to 1.25% of Soluna Cloud’s issued and outstanding common
stock as of the Cloud Additional Warrant date, divided by 0.9875, plus 1.25% of each Qualified Issuance, divided by 0.9875. On July 12,
2024, the Company determined that the additional warrants were treated as a warrant liability and based on valuation, the