Company: SLNH
Filing Date: 2025-11-14
Form Type: 10-Q
Source: 0001493152-25-023503
Chunk: 180

Company: Soluna Holdings, Inc
Filing Date: 2025-11-14
Form: 10-Q
Item: Part I, Item 8
Chunk 180
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 2,512,581 shares of common stock for conversion of the debt, which includes the
final conversion shares noted below.

On
December 12, 2024, the Company entered into an agreement with the remaining three Note Holders who held an outstanding principal balance
as of December 12, 2024, pursuant to which the three remaining Note Holders elected to immediately convert all of the outstanding principal
of certain convertible notes into shares of the Company’s common stock. The agreement satisfied the full outstanding debt owed
to the remaining three Note Holders under the Convertible Notes. Following the conversion, 335,661 shares of common stock were issued
to the Note Holders in accordance with the terms of the Convertible Notes, as amended. The Company recorded a debt inducement conversion
expense of approximately $388 thousand within Other Expense, net for the year ended December 31, 2024. No further amounts are owed by
the Company under the Convertible Notes as of September 30, 2025 and December 31, 2024.

9.
Stockholders’ Equity

Preferred
Stock

The
Company has two series of preferred stock outstanding: the Series A Preferred Stock, par
value $0.001 per share (the “Series A Preferred Stock”), with a $25.00 liquidation preference; and the Series
B Convertible Preferred Stock, par value $0.0001 per share (the “Series B Preferred Stock”). As of September 30, 2025
and December 31, 2024, there were 4,928,545 and 4,953,545 shares of Series A Preferred Stock issued and outstanding, and as of September
30, 2025 and December 31, 2024, there was 62,500 shares of Series B Preferred Stock issued
and outstanding.

Series
A Preferred Stock

The
Series A Preferred Stock is not convertible into or exchangeable into common stock of the Company, except upon the occurrence of a delisting
event or change of control. Per the Company’s Certificate of Designations, Preferences and Rights of 9.0% Series A Cumulative Perpetual
Preferred Stock (“Series A Certificate of Designations”), if there is an occurrence of delisting or change of control, the
holders of Series A Preferred Stock will have the right to convert the number of preferred A shares into a number of common shares by
the lesser of (a) the sum of the $25.