Soluna Seeks Share Issuance Expansion for AI and Bitcoin Mining Ambitions

Soluna Holdings is seeking to expand its share issuance capacity to fund its ambitious expansion plans in AI and Bitcoin mining. The company has submitted a proposal to increase its authorized common stock from 375 million to 1 billion shares, which will be voted on by shareholders at the annual meeting on October 16.

The second proposal relates to a standby equity agreement with YA II PN, allowing Soluna to issue up to 20% of its outstanding shares. This agreement was made in March and would allow Soluna to sell up to $250 million of common stock over time.

Soluna's CEO, John Belizaire, has stated that the company needs significant capital to fund its projects, including Project Dorothy 3, a planned AI and high-performance computing campus in Texas with potential capacity of more than 300 MW. The company has secured 397 acres for the initial buildout and begun master planning and design work.

Soluna is also expanding its revenue streams by co-mining Bitcoin at its existing facilities. In August, it signed an agreement with Bitdeer to deploy about 28 MW of mining equipment at Project Kati 1 in Texas, which will generate roughly 1.93 exahashes per second.