Company: SLNH
Filing Date: 2025-03-31
Form Type: 10-K
Source: 0001641172-25-001756
Chunk: 1320

Company: Soluna Holdings, Inc
Filing Date: 2025-03-31
Form: 10-K
Item: Item 4
Chunk 1320
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 was performed on February 13, 2024 and was agreed upon by both NYDIG and the Borrower, that the total outstanding
loan principal balance would be approximately $9.2 million, in which a penalty fee was applied of approximately $1.0 million to the repossessed
collateralized assets, and outstanding interest and penalty balance would be approximately $936 thousand as of December 31, 2023. As
of December 31, 2024, the Company still has an outstanding loan principal of approximately $9.2 million and outstanding interest and
penalty balance of approximately $2.3 million.

On
October 25, 2021, we issued the Convertible Notes to the Noteholders in the aggregate principal amount of approximately $16.3 million
for an aggregate purchase price of $15.0 million pursuant to the terms of the SPA. The Convertible Notes were convertible, subject to
certain conditions, at any time at the option of the investors, into an aggregate of 71,043 shares of our common stock. On May 11, 2023,
we and the Noteholders entered into the Second Amendment with the Noteholders, which increased the principal outstanding balance of the
Convertible Notes to approximately $13.3 million and extended the maturity date of the Convertible Notes to July 2024. On November 20,
2023 we and the Noteholders entered into the Third Amendment to the SPA related agreements to facilitate future financings by us that
may include funds for prepayment of the Convertible Notes by permitting us to force conversion of up to $1.5 million of the Convertible
Notes under certain circumstances and reduce the prepayment penalty in return for reducing the conversion price of the $4.7 million of
the Convertible Notes to $3.78 and reducing the exercise price of 150,000 of the Warrants to $0.01.Between May 11, 2023 and December
31, 2023, the Noteholders converted approximately $4.6 million of the principal outstanding balance of the Convertible Notes and received
approximately 1.1 million shares of our common stock, reducing the principal balance to approximately $8.7 million as of December 31,
2023. On February 28, 2024, we and the Noteholders entered into the Fourth Amendment which allowed all the outstanding debt in relation
to the convertible notes to be converted at a rate of $3.78. Throughout fiscal year