Business
Soluna Obtains 14 Month Extension on Convertible Notes
Agreement Shows Confidence in Business Plan ALBANY, N.Y.--(BUSINESS WIRE)-- Soluna Holdings, Inc. (“SHI” or the “Company”), (NASDAQ: SLNH), the parent
About this update from Soluna Holdings, Inc.
[{"type":"text","content":"\nAgreement Shows Confidence in Business Plan\n\n\n ALBANY, N.Y.--(BUSINESS WIRE)--\nSoluna Holdings, Inc. (“SHI” or the “Company”), (NASDAQ: SLNH), the parent company of Soluna Computing, Inc. (“SCI”), a developer of green data centers for Bitcoin mining and other intensive computing, announced an agreement with the holders of its convertible notes to extend the maturity of the notes to July 25, 2024.\n\n\nAs consideration for the extension, the Company agreed to pay an extension fee of $250,000, to increase the principal balance of the notes and to issue 6,000,000 new Class A Warrants exercisable at $0.50 and 2,000,000 Class B Warrants exercisable at $0.80. Pursuant to the agreements, the Company has the right, based on market conditions, to require the noteholders to convert up 20% of the outstanding notes. The extension also adds the opportunity for the Company to prepay a portion of the note in cash. Overall, the extension will support the company as it achieves cash flow positive during the second half of 2023 and further monetizes its project pipeline.\n\n\nJohn Belizaire, CEO of Soluna Holdings, commented, “I am encouraged by the note holders' support of our business plan and recent successes at Project Dorothy and Project Sophie. We are now poised to drive the growth of operating cash flow and execute our strategy for 2023 and beyond.”\n\n\nSafe Harbor Statement\n\n\nThis announcement contains forward-looking statements. These statements are made under the \"safe harbor\" provisions of the U.S. Private Securities Litigation Reform Act of 1995. These forward-looking statements can be identified by terminology such as \"will,\" \"expects,\" \"anticipates,\" \"future,\" \"intends,\" \"plans,\" \"believes,\" \"estimates,\" \"confident\" and similar statements. Soluna Holdings, Inc. may also make written or oral forward-looking statements in its periodic reports to the U.S. Securities and Exchange Commission, in its annual report to shareholders, in press releases and other written materials and in oral statements made by its officers, directors or employees to third parties. Statements that are not historical facts, including but not limited to statements about Soluna’s beliefs and expectations, are forward-looking statements. Forward-looking statements involve inherent risks and uncertainties, further information regarding...