Company: SLNH
Filing Date: 2025-02-03
Form Type: S-1/A
Source: 0001493152-25-004555
Chunk: 20

Company: Soluna Holdings, Inc
Filing Date: 2025-02-03
Form: S-1/A
Chunk 20
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 from effecting transactions in shares of our securities.                       |
| ● | Raising                                                                                           
 additional funds through debt or equity financing could be dilutive and may cause the market      
 price of our securities to decline. We still may need to raise additional funding which may       
 not be available on acceptable terms, or at all. Failure to obtain additional capital may         
 force us to delay, limit or terminate our product development efforts or other operations.        |

Risks Related to this Offering and the SEPA

| ● | Substantial                                                                                
 blocks of our Common Stock may be sold into the market as a result of our being party to   
 the SEPA.                                                                                  |
| ● | You                                                                                        
 may experience immediate and substantial dilution in the net tangible book value per share 
 of our Common Stock.                                                                       |
| ● | Under                                                                                      
 the SEPA, we do not have the right to control the timing and amount sales of our shares of 
 Common Stock by the Investor.                                                              |

Risks Relating to the Company and its Growth Strategy

The Company’s ability to operate as a going concern is in doubt.

The audit opinion and notes that accompany the Company’s Consolidated Financial Statements disclose a going concern qualification to its ability to continue in business. The accompanying Consolidated Financial Statements have been prepared under the assumption that the Company will continue as a going concern. The Company has incurred losses resulting in an accumulated deficit of approximately $274 million as of September 30, 2024, and further losses are anticipated in the development of its business.

The accompanying Consolidated Financial Statements show that the Company did not generate sufficient revenue to generate net income and has negative working capital as of September 30, 2024. The Company’s ability to continue as a going concern is dependent on its ability to raise capital to fund its future data centers and working capital requirements or its ability to profitably execute its business plan. The Company’s plans for the long-term return to and continuation as a going concern include financing its future operations through sales of securities, which may include Common Stock, preferred stock, convertible debt and project finance, or through the exercise of outstanding warrants. The volatility in capital markets and general economic conditions in the U.S. and elsewhere can pose significant challenges to raising the required funds. These factors raise substantial doubt about the Company’s ability to continue as a going concern.

The Company’s consolidated financial statements do not give effect to any adjustments required to realize its assets and discharge its liabilities in other than the normal course of business and at amounts different from those