Company: SLNH
Filing Date: 2025-05-15
Form Type: 10-Q
Source: 0001641172-25-010886
Chunk: 166

Company: Soluna Holdings, Inc
Filing Date: 2025-05-15
Form: 10-Q
Item: Part I, Item 8
Chunk 166
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 and the obligation to
absorb losses or gains of DVCC that could be significant to the Company.

Accordingly, the accounts of DVCC are consolidated
in the accompanying financial statements.

The carrying amount of the VIE’s assets and
liabilities was as follows for DVCC:

 Schedule of Variable Interest Entities of Assets and Liabilities

    (Dollars in thousands) 
    March 31, 2025  
    December 31, 2024 

    Current assets: 

    Cash and restricted cash 
    $1,465  
    $2,057 
  
    Accounts receivable 
     12  
     37 
  
    Prepaids and other current assets 
     83  
     49 
  
    Other receivable, related party 
     1,978  
     1,692 
  
    Total current assets 
     3,538  
     3,835 

    Other assets- long term, related party 
     2,452  
     2,452 
  
    Operating lease right-of-use assets 
     42  
     42 
  
    Property, plant, and equipment, net 
     16,697  
     17,774 
  
    Total assets 
    $22,729  
    $24,103 

    Current liabilities: 

    Due to intercompany 
    $1,489  
    $1,475 
  
    Accrued expense 
     894  
     1,392 
  
    Operating lease liability 
     4  
     4 
  
    Current portion of debt 
     -  
     137 
  
    Total current liabilities 
     2,387  
     3,008 

    Operating lease liability 
     38  
     39 
  
    Total liabilities 
    $2,425  
    $3,047 

On July 22, 2024 (the “Effective Date”),
Soluna Holdings, Inc. (the “Company”) closed financing for the Dorothy 2 project. This project involves Soluna Digital, Inc.
(the “Developer”) and Soluna DVSL II ComputeCo, LLC (the “ComputeCo”), a special purpose vehicle initially owned
solely by the Developer. They are collaborating on the development, design, procurement, and construction of a 48 MW modular data center
(the “