Company: SLNH
Filing Date: 2025-02-05
Form Type: 424B3
Source: 0001493152-25-005030
Chunk: 281

Company: Soluna Holdings, Inc
Filing Date: 2025-02-05
Form: 424B3
Chunk 281
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 the Dorothy 2 project valued at three times the borrowing amount (i.e., $ 2.16million). The redemption of debt through equity created approximately a $ 1.4million loss on debt for the three and nine months ended September 30, 2024. In addition, the Borrower had deferred financing costs associated with the line of credit of approximately $ 118thousand. Per ASC 835-30-S45-1, debt issuance costs related to line of credits should be recorded as an asset and amortized over the life of the line of credit agreement. As such, the Company recorded $ 39thousand within Prepaid expenses and other current assets and $ 64thousand within Other assets on the condensed balance sheet as of September 30, 2024, in which $ 15thousand has been amortized and recorded within Interest Expense.

| F-66 |

June 2024 secured note and July 2024 additional secured note

Schedule of Secured Note Financing

| (Dollars in thousands)                                           
 Term Loan and capitalized interest (excludes debt issuance cost) |     | Maturity Date 
 June 20, 2027 |     | Interest Rate | 9 | % |     | June 20, 2024-     
 September 30, 2024 | 14,057 |   |
|:-----------------------------------------------------------------|:----|:--------------|:----|:--------------|:--|:--|:----|:-------------------|-------:|:--|
| Less: principal and capitalized interest payments                |     |               |     |               |   |   |     |                    |      - |   |
| Less: debt discount                                              |     |               |     |               |   |   |     |                    |   (280 | ) |
| Less: debt issuance costs                                        |     |               |     |               |   |   |     |                    |   (623 | ) |
| Total outstanding note                                           |     |               |     |               |   |   |     |                    | 13,154 |   |
| (Less) Current note outstanding                                  |     |               |     |               |   |   |     |                    |  5,054 |   |
| Long-term note outstanding                                       |     |               |     |               |   |   |     | $                  |  8,100 |   |

On June 20, 2024, pursuant to the terms and