Company: SLNH
Filing Date: 2025-03-31
Form Type: 10-K
Source: 0001641172-25-001756
Chunk: 2706

Company: Soluna Holdings, Inc
Filing Date: 2025-03-31
Form: 10-K
Item: Item 9A
Chunk 2706
---
    Operating lease right-of-use assets 
     42  
     90 
  
    Property, plant, and equipment, net 
     17,774  
     22,188 
  
    Total assets 
    $24,103  
    $27,718 

    Current liabilities: 

    Due to intercompany 
    $1,475  
    $1,259 
  
    Accrued expense 
     1,392  
     2,213 
  
    Operating lease liability 
     4  
     7 
  
    Current portion of debt 
     137  
     1,682 
  
    Total current liabilities 
     3,008  
     5,161 

    Operating lease liability 
     39  
     83 
  
    Total liabilities 
    $3,047  
    $5,244 

On
July 22, 2024 (the “Effective Date”), Soluna Holdings, Inc. (the “Company”) closed financing for the Dorothy
2 project. This project involves Soluna Digital, Inc. (the “Developer”) and Soluna DVSL II ComputeCo, LLC (the
“ComputeCo”), a special purpose vehicle initially owned solely by the Developer. They are collaborating on the
development, design, procurement, and construction of a 48 MW modular data center (the “Project Dorothy 2”) in
Silverton, Texas. This facility is owned by ComputeCo and operated by Soluna US Services, LLC, and may engage in cryptocurrency,
batch processing, and other non-crypto related activities. It is adjacent to two other company modular data center projects at the
same site.

     F-42 

Project
Dorothy 2 is financed by Soluna2 SLC Fund II Project Holdco LLC, an investment vehicle of Spring Lane Capital (“SLC”) with
a capital contribution of up to $29.98 million, and the Developer, as the parent company of ComputeCo, with an initial capital contribution
of up to $4.6 million. As of the Effective Date, the Company and the Developer became co-owners of ComputeCo.

Project
Dorothy 2 allows the Developer to invest in ComputeCo, with the total ownership of the Developer and its affiliates capped at 49% of
the Class B Membership Interests. This investment can occur within 30 days after the Effective Date (treated equally