ALBANY, NY, July 20, 2022 (GLOBE NEWSWIRE) — via NewMediaWire – Soluna Holdings, Inc. (“SHI” or the “Company”), (NASDAQ: SLNH), the parent company of Soluna Computing, Inc. (“SCI”), a developer of green data centers for cryptocurrency mining and other intensive computing, today announced two recent financing developments that serve to increase capital structure flexibility and fund the Company’s near-term growth pipeline. The developments, which involved several longstanding investors in the Company, are intended to enable the Company to continue to execute on its business plan notwithstanding the current market volatility including drawing down an initial tranche of the previously announced project financing from funds managed by Spring Lane Capital for Dorothy 1 in the coming weeks.
Convertible Note Amendment
The Company reached an agreement with the Noteholders to amend the terms on the remaining balance of approximately $13,000,000 of convertible notes issued in October of 2021. The notes will restrike the conversion price up to 3 times at a 20% discount to the 5-day VWAP. The notes currently have a fixed conversion price of $9.18. In partial consideration of the amendment to the notes, the Noteholders agreed to release certain collateral covered by their security agreement to permit the Company to proceed forward with the initial phase of the Dorothy project and release the Spring Lane project financing, which the Company intends on completing…
