Soluna Holdings, a developer of green data centers for intensive computing applications, including Bitcoin mining and AI, closed a $5 million loan facility with Galaxy Digital, a financial services and investment management innovator in the digital asset and blockchain technology sectors.
The loan will have a five-year term. It is secured, with limited recourse to the parent company — highlighting the strength of project-level standalone cash flows and the ability to attract institutional financing. The company has the right to prepay the loan, in whole or in part, at any time, subject to certain requirements defined by the loan agreement.
“This deal underscores the strength of our project cash flows and demonstrates investor confidence in our ability to monetize energy through AI and Bitcoin mining,” John Belizaire, CEO of Soluna Holdings, said. “Simply put, the assets we build are durable and very, very valuable. With this financing, we gain access to additional capital to accelerate our execution — without diluting our shareholders.”
“We’re excited to support Soluna with this financing,” Max Bareiss, head of lending at Galaxy, said. “This deal reflects our confidence in Soluna’s business model and growth potential while underscoring our commitment to providing strategic capital to innovative companies at the forefront of technology.”
Nixon Peabody acted as legal counsel to the company. Orrick, Herrington & Sutcliffe acted as legal counsel to Galaxy Digital.
Highlights of the non-dilutive debt financing:
- $5 million term loan
- Five-year amortizing term
- Non-dilutive debt financing with no equity features
- Security is limited to the assets at the project level, with a limited recourse parent company guarantee
- Supports Soluna’s continued project development and expansion
This financing marks another milestone in Soluna’s commitment to delivering sustainable, scalable computing solutions.
