Company: SLNH
Filing Date: 2025-03-31
Form Type: 10-K
Source: 0001641172-25-001756
Chunk: 2356

Company: Soluna Holdings, Inc
Filing Date: 2025-03-31
Form: 10-K
Item: Item 8
Chunk 2356
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 a Cayman Islands exempt limited company (“YA”). Pursuant
to the terms of the SEPA, the Company agreed to issue and sell to YA, from time to time, and YA agreed to purchase from the Company, up
to $25 million of shares of the Company’s common stock (the “SEPA Shares”). The Company paid a commitment fee of approximately
$250 thousand to YA and consent fee of $25 thousand to the Series B holder, which was paid through issuance of 65,320 shares of common
stock. The commitment and consent fees were recorded within Other expense, net on the Company’s consolidated financial statements.
The Company and YA also entered into a registration rights agreement, pursuant to which the Company agreed to prepare and file with the
SEC a Registration Statement on Form S-1, registering the resale of the SEPA Shares. On November 12, 2024, the Company filed a registration
statement on Form S-1 (File No. 333-282559) with the SEC for the resale by YA of 3,000,000 SEPA Shares, which was declared effective by
the SEC on February 5, 2025. As of the date of this Annual Report, the Company has issued and sold approximately 1.5 million shares of
common stock to YA pursuant to the SEPA for aggregate net proceeds to the Company of approximately $2.0 million.

Reservation
of Shares

The
Company had reserved common shares for future issuance as follows as of December 31, 2024:

Schedule of Reserved Shares of Common Stock for Future Issuance

    Stock options outstanding 
     3,245 
  
    Restricted stock units outstanding 
     210,312 
  
    Warrants outstanding 
     2,793,798 
  
    Common stock available for future equity awards or issuance of options 
     418,476 
  
    Number of common shares reserved 
     3,425,831 

The
Company also notes that as of December 31, 2024, there are 14,888 Series A preferred stock available for future equity awards under the
2021 Plan.

10. Retirement Plan

The
Company maintains a voluntary savings and retirement plan under IRC Section 401(k) covering substantially all employees. Employees must
complete six months of service and have attained the age of twenty-one prior to becoming eligible for participation in the plan. The
Company plan allows eligible employees to contribute a percentage of their compensation on a pre-tax