Soluna Holdings gets $20M in financing for Project Kati

Soluna Holdings (SLNH) announced financing from Spring Lane Capital for a 35 megawatt phase of Project Kati, Soluna’s second behind-the-meter data center project. Spring Lane Capital, a private equity firm providing hybrid project capital for sustainability solutions, has entered into a term sheet to lead the financing round with a commitment of at least $20M. The financing will facilitate the construction of the first 35MW of the 83MW phase of Kati 1, which expands Soluna’s Texas fleet for Bitcoin Hosting. Under the non-binding term sheet, Soluna expects to secure at least $20M from SLC, fully covering the project’s funding needs, including working capital. Kati 1 continues the superior waterfall structure and enhanced management and development fees, allowing Soluna to benefit from substantial current income during the construction and operational phases. The parties intend to complete definitive documentation and commence Project Kati 1 construction in Q3, with the goal of achieving initial energization and ramp-up by Q1 2026.