Company: SLNH
Filing Date: 2025-03-31
Form Type: 10-K
Source: 0001641172-25-001756
Chunk: 1559

Company: Soluna Holdings, Inc
Filing Date: 2025-03-31
Form: 10-K
Item: Item 5
Chunk 1559
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Company owned approximately 1.79% of HEL, calculated on a converted fully diluted basis, as of December 31, 2024 and December 31, 2023.
The Company may enter into additional transactions with HEL in the future.

Yorkville
SEPA

YA
entered into the SEPA with the Company on August 12, 2024. Under the SEPA, the Company has the option to sell up to $25 million of Common
Stock to YA, and YA is obligated to purchase such shares, at a price and on the terms and subject to the conditions set forth in the
SEPA. YA beneficially owns more than 5% of our capital
stock.

79

Policies
and Procedures for Related Party Transactions

We
have adopted a written policy requiring that all related person transactions be reported to our executive management and/or the Board
and approved or ratified by the Audit Committee. In completing its review of proposed related person transactions, the Audit Committee
considers the aggregate value of the transaction, whether the transaction was undertaken in the ordinary course of business, the nature
of the relationships involved, and whether the transaction is on terms comparable to those that could be obtained in arm’s length
dealings with an unrelated third party.

Director
Independence

Pursuant
to the rules of Nasdaq, a director will only qualify as an “independent director” if, in the opinion of that company’s
board of directors, that person does not have a relationship that would interfere with the exercise of independent judgment in carrying
out the responsibilities of a director.

Under
such rules, the Board has determined that Messrs. Bottomley, Hazelip, Hirshfield, Marusak, and Phelan are “independent directors,”
as defined by the rules and listing standards of Nasdaq. Messrs. Michaels, Belizaire, Lipman and Toporek are not independent directors
under the Nasdaq rules. In making such independence determinations, our board of directors considered the relationships that each non-employee
director has with us and all other facts and circumstances that our board of directors deemed relevant in determining their independence,
including the beneficial ownership of our capital stock by each non-employee director. In considering the independence of the directors
listed above, our board of directors considered the association of our directors with the holders of more than 5% of our common stock.
There are no family relationships among any of our directors and executive officers.

Item
14. Principal