Company: SLNH
Filing Date: 2025-05-15
Form Type: 10-Q
Source: 0001641172-25-010886
Chunk: 99

Company: Soluna Holdings, Inc
Filing Date: 2025-05-15
Form: 10-Q
Item: Part I, Item 1
Chunk 99
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 of $5.0 million of debt issuance proceeds,
$2.0 million of net proceeds from SEPA draws, and $4.3 million of contributions from non-controlling interest, offset with cash distributions
to non-controlling interest members of approximately $1.5 million and payments on debt and deferred financing costs of approximately
$2.0 million to the CloudCo Secured Loan, CloudCo Additional Secured Loan, Navitas term loan, and for deferred financing costs. For the
three months ended March 31, 2024, net cash used in financing activities was approximately $2.0 million consisting mainly of $1.7 million
of cash distributions to non-controlling interest members, $616 thousand in principal payments of the Navitas loan, offset with $300
thousand of warrant exercises.

49

Debt

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

    Galaxy loan 
    $4,550  
    $- 
  
    NYDIG Financing 
     9,183  
     9,183 
  
    Equipment loan 
     250  
     - 
  
    Navitas Term Loan 
     -  
     137 
  
    CloudCo Secured Loan 
     10,055  
     10,983 
  
    CloudCo Additional Secured Loan 
     -  
     1,202 
  
    Total Debt 
    $24,038  
    $21,505 

On June 20, 2024, pursuant to the terms and subject
to the conditions of the June SPA by and among (i) CloudCo, (ii) Soluna Cloud, (iii) the Company and (iv) the Investor, CloudCo issued
to the Investor a secured promissory note in a principal amount equal to $12.5 million (the “Soluna CloudCo Secured Note”).
The Soluna CloudCo Secured Note accrues interest at a rate 9.0% per annum, subject to adjustment upon an event of default. The Soluna
CloudCo Secured Note matures on June 20, 2027. On July 12, 2024, the Company, CloudCo, Soluna Cloud, and the Existing Investor entered
into a First Amendment to the Note Purchase Agreement. Additional Notes were issued for $1.25 million (“Soluna Cloud