Company: SLNH
Filing Date: 2025-05-15
Form Type: 10-Q
Source: 0001641172-25-010886
Chunk: 49

Company: Soluna Holdings, Inc
Filing Date: 2025-05-15
Form: 10-Q
Item: Part I, Item 1
Chunk 49
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5.0139% interest in Tera Joule, LLC’s 965,945 Class
Seed Preferred shares, which are convertible into 818,596 shares of common stock of HEL. Mr. Bottomley is the beneficial owner of 96,189,
or approximately 0.72%, of the outstanding shares of common stock of HEL.

The Company owned approximately 1.79%
of HEL, calculated on a converted fully diluted basis, as of March 31, 2025 and December 31, 2024. The Company’s equity investment
of HEL was fully impaired in fiscal year 2023, as such the equity investment is valued at $0 for both March 31, 2025 and December 31,
2024. The Company may enter into additional transactions with HEL in the future.

12. Stock Based Compensation

2023 Plan

The Company’s 2023 Stock Incentive Plan was
adopted by the Board on February 10, 2023 and approved by the stockholders on March 10, 2023. The 2023 Plan sets the number of shares
of our Common Stock reserved for issuance thereunder, on a quarterly basis, to 9.75% of the shares of our Common Stock outstanding on
the measurement date. Subject to certain adjustments as provided in the 2023 Plan, the maximum aggregate number of shares of our Common
Stock that may be issued under the 2023 Plan (excluding the number of shares of our Common Stock subject to Specified Awards (as defined
below)) (i) pursuant to the exercise of stock options, (ii) as unrestricted or restricted Common Stock, and (iii) in settlement of RSUs
shall be limited to, beginning with the first quarter of our fiscal year ending December 31, 2023 (or January 1, 2023), 9.75% of the number
of shares of our Common Stock outstanding as of the first trading day of each quarter . Subject to certain adjustments as provided in
the 2023 Plan, (i) shares of our Common Stock subject to the 2023 Plan shall include shares of our Common Stock which revert back to the
2023 Plan in a prior quarter pursuant to the paragraph below, and (ii) the number of shares of our Common Stock that may be issued under
the 2023 Plan may never be less than the number of shares of our Common Stock that are then outstanding under (or available to settle
existing)