Company: SLNH
Filing Date: 2025-03-31
Form Type: 10-K
Source: 0001641172-25-001756
Chunk: 2231

Company: Soluna Holdings, Inc
Filing Date: 2025-03-31
Form: 10-K
Item: Item 7A
Chunk 2231
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 2023.

For
the year ended December 31, 2024 and 2023, approximately 100% and 65% of the Company’s cryptocurrency mining revenue was generated
from Project Dorothy 1B (data center located in Silverton, Texas), 0% and 28% from Project Sophie (data center located in Murray, Kentucky),
respectively, and 0% and 7% from Project Marie, respectively.

For
the year ended December 31, 2024 and 2023, approximately 73%
and 67%
of the Company’s data center hosting revenue was generated from Project Dorothy 1A and 27%
and 30%
from Project Sophie, and 0%
and 3%
from Project Marie, respectively.

17.
Subsequent Events

Galaxy
Loan Agreement

On
March 12, 2025, Soluna SW LLC (the “SW Borrower”), a Delaware limited liability company and subsidiary of Soluna SW Holdings
LLC (“SW Holdings”), itself a subsidiary of Soluna Digital, Inc. (“SDI”), a Nevada corporation and wholly owned
subsidiary of Soluna Holdings, Inc. (the “Company”), entered into a Loan Agreement (the “Galaxy Loan Agreement”)
with SW Holdings and Galaxy Digital LLC (the “Lender”).

The
Galaxy Loan Agreement provides for a term loan facility in the principal amount of $5.0 million (the “Term Loan Facility”).
The Term Loan Facility bears interest at a rate of 15.0% per annum, subject to an increase of 5.0% (for a total of 20.0%) in the event
an Event of Default has occurred and is continuing. The Term Loan Facility matures on March 12, 2030 and includes scheduled payments
over a five-year term.

Soluna
Cloud – Termination of HPE Agreement

When
Soluna launched its GPU-as-a-Service business under its subsidiary, Soluna Cloud, earlier in 2024, it had two primary objectives:
(1) to gain commercial experience in the AI/HPC market in support of future data center development focused on large language models
(LLMs) and other AI workloads; and (2) to capitalize on lower-cost capital to pursue high-growth revenue opportunities in the
compute infrastructure market.

As a point of entry into the market, CloudCo, a
subsidiary of Soluna Cloud, entered into a contract with Hewlett