Company: SLNH
Filing Date: 2025-05-15
Form Type: 10-Q
Source: 0001641172-25-010886
Chunk: 136

Company: Soluna Holdings, Inc
Filing Date: 2025-05-15
Form: 10-Q
Item: Part I, Item 8
Chunk 136
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of Fair value of Convertible Debt

    (in thousands) 

    Balance January 1, 2024 
    $8,474 
  
    Conversions of debt (January 1, 2024- March 31, 2024) 
     (1,023)
  
    Total revaluation gains (January 1, 2024- March 31, 2024) 
     (1,235)
  
    Balance March 31, 2024 
     6,216 
  
    Conversions of debt (April 1, 2024- December 31, 2024) 
     (7,978)
  
    Revaluation losses and extinguishment of debt, net (April 1, 2024- December 31, 2024) 
     1,437 
  
    Extension fee 
     325 
  
    Balance December 31, 2024 
    $- 

    19

For the three months ended March 31, 2024, the Company
had approximately $1.0 million of conversions with the Noteholders, therefore reducing the outstanding principal balance to approximately
$7.7 million as of March 31, 2024. The Company also performed a fair value assessment on February 28, 2024 (date of the Fourth Amendment
noted below) for which the fair value was determined to be approximately $7.5 million, and March 31, 2024 the fair value was determined
to be approximately $6.2 million. In addition, from April 1, 2024 through December 31, 2024, there was approximately $8.0 million of conversions
with the Noteholders, and incurred a revaluation loss of debt of approximately $1.4 million, as well as an extension fee recorded within
Other expense of $325 thousand.

The following table represents the significant and
subjective fair value assumptions used for Convertible Notes during the year ended December 31, 2024. As the Convertible Notes were fully
converted in fiscal year 2024, no assumptions were noted for the three months ended March 31, 2025.

 Schedule of Fair Value Assumptions For Convertible Notes

    Year Ended
                                                                                December 31, 2024  
  
    Stock price 
    $2.88
                                            – 6.09 
  
    Conversion price 
    $2.30