Soluna Raises $35M From Spring Lane Capital to Build Green Data Centers for Crypto, Machine Learning
May 12 2022 - 8:00AM
via NewMediaWire – Soluna Holdings, Inc. (“SHI” or the “Company”),
(NASDAQ: SLNH), the parent company of Soluna Computing, Inc.
(“SCI”), secured $35 million in project financing to develop green
data centers co-located with renewable energy assets. Spring Lane
Capital, a private equity firm, invested private funds in Soluna as
a part of their strategy focused on hybrid project capital for
sustainability solutions in the energy, food, water, waste and
transportation industries. The capital will help develop three
behind-the-meter (BTM) projects designed to convert wasted
renewable energy into clean computing services such as bitcoin
mining and artificial intelligence.
“Soluna is the only true green bitcoin company we’ve yet seen,”
said Rob Day, Spring Lane Capital Partner and Co-Founder. “Going
after wasted renewable energy – ‘spilled power’ – is a compelling
solution – and fixes both bitcoin’s climate problem and wind
power’s grid problem.”
Michael Toporek, CEO of Soluna Holdings, Inc. said, “Consistent
with our previously articulated strategy, we continue to pursue
opportunities that we believe enable us to optimize our cost of
capital. The Spring Lane Capital approach helps us develop a mature
repeatable model that can be scaled.”
The first of the three projects, Dorothy, named in honor of
African American mathematician and human computer Dorothy Vaughan,
is expected to be energized later this summer and coincide with the
launch of a local STEM program. The Dorothy project is a 100 MW
data center with a 50 MW initial phase, connected to a Texas wind
farm that produces more electricity than the grid can consume.
Soluna’s data center is currently estimated to create between 25 to
50 highly skilled jobs for technicians, security and electrical
staff.
The other two projects funded by the new capital will come from
Soluna’s robust pipeline.
John Belizaire, CEO of Soluna Computing, Inc., said, “We are
honored to have a pioneering sustainability project finance firm
like Spring Lane Capital back our vision. Our model of leveraging
excess clean energy to generate low-cost computing is the future of
green bitcoin mining and green data centers.”
Spring Lane Capital has a successful track record helping
sustainable technology companies raise capital to build flagship
projects. Their ‘hybrid project capital’ approach provides project
equity along with additional growth capital.
Added Day: “Soluna is driving demand for clean power by giving a
floor price and improving the bottom line of the renewable power
partners they work with. The ultimate result is more wind farms and
solar farms that would not otherwise be built.”
At power plants like the wind farm where the Dorothy project is
under construction, excess energy is wasted when the grid becomes
overloaded or demand is too low. Soluna’s scalable solution allows
every excess megawatt to be used for batch-oriented,
computing-intensive processes, such as cryptocurrency mining and
machine learning. Additionally, flexible demand consumers help
stabilize the grid by preventing power overload, which can
otherwise lead to blackouts and grid malfunction.
Last month, Soluna Holdings (SCI’s Computing’s parent company),
sold its Albany-based MTI Instruments subsidiary for $10.75
million, expanding its focus on helping the modern grid absorb more
renewable energy through flexible green data centers.
About Soluna Holdings, Inc.
Soluna Holdings, Inc. (Nasdaq: SLNH), which operates through its
subsidiary, Soluna Computing, Inc. is the leading developer of
green data centers that convert excess renewable energy into global
computing resources. Soluna builds modular, scalable data centers
for computing-intensive, batchable applications such as
cryptocurrency mining, AI and machine learning. Soluna provides a
cost-effective alternative to battery storage or transmission
lines. Up to 30% of the power of renewable energy projects can go
to waste. Soluna’s data centers enable clean electricity asset
owners to ‘Sell. Every. Megawatt.’
For more information about Soluna, please visit
solunacomputing.com or follow us on LinkedIn and Twitter.
Investor Relations:Kirin Smith, President PCG
Advisory, Inc.646.823.8656Ksmith@pcgadvisory.com
Media contact:Bridgette Borst Ombres,
Tigercommbombres@tigercomm.us(304) 546-3788
Soluna (NASDAQ:SLNH)
Historical Stock Chart
From Mar 2024 to Apr 2024
Soluna (NASDAQ:SLNH)
Historical Stock Chart
From Apr 2023 to Apr 2024