Crypto Mining Data Center Soluna Stock Surges After $14M Investment Deal
:format(jpg)/www.coindesk.com/resizer/r4hCNh4zR8o4AxiOYIgV0l2Wigc=/arc-photo-coindesk/arc2-prod/public/QPY362MKDVA77CB4EHZRXW2KZM.jpeg)
Eliza Gkritsi is CoinDesk’s crypto mining reporter based in Asia.
The shares of crypto mining data center Soluna Holdings (SLNH) rose about 12% on Monday, after the firm said it will get $14 million in funding to finish the development of Project Dorothy 1B in Texas, under a new deal with Navitas Global.
The deal includes a $2 million loan to complete construction of the 25 megawatt (MW) site and a $12 million equity investment, the company said in a press release on Monday. Soluna will provide operations and maintenance expertise and will remain 51% owner of the project.
“This partnership together with recent deals at Project Dorothy 1A and Project Sophie put the company on a trajectory to reach cash flow positive during the second half of 2023,” the statement said.
After a long crypto winter that saw capital dry up for miners, the industry seems to be getting back on its feet as the price of bitcoin has almost doubled this year. The shares of the data center firm has fallen about 22% this year, underperforming pure-play mining firms and bitcoin price.
Edited by Aoyon Ashraf.
DISCLOSURE
Please note that our
privacy policy,
terms of use,
cookies,
and
do not sell my personal information
has been updated
.
The leader in news and information on cryptocurrency, digital assets and the future of money, CoinDesk is a media outlet that strives for the highest journalistic standards and abides by a
strict set of editorial policies.
CoinDesk is an independent operating subsidiary of
Digital Currency Group,
which invests in
cryptocurrencies
and blockchain
startups.
As part of their compensation, certain CoinDesk employees, including editorial employees, may receive exposure to DCG equity in the form of
stock appreciation rights,
which vest over a multi-year period. CoinDesk journalists are not allowed to purchase stock outright in DCG
.
Eliza Gkritsi is CoinDesk’s crypto mining reporter based in Asia.
Learn more about Consensus 2024, CoinDesk’s longest-running and most influential event that brings together all sides of crypto, blockchain and Web3. Head to consensus.coindesk.com to register and buy your pass now.
Eliza Gkritsi is CoinDesk’s crypto mining reporter based in Asia.
