Soluna Secures $100 Million Credit Facility from Generate Capital to Accelerate Expansion of Green Data Centers
Soluna Holdings, Inc. (“Soluna” or the “Company”) (NASDAQ: SLNH), a leading developer of green data centers designed for high-intensity computing applications such as artificial intelligence (AI) and Bitcoin mining, has announced the closing of a scalable credit facility of up to $100 million. The financing comes from Generate Capital, PBC (“Generate”), a prominent infrastructure investment firm known for advancing sustainable and resilient energy solutions worldwide.
As part of the agreement, Soluna will receive an initial draw of $12.6 million. This first tranche will be used to refinance certain existing projects and to support construction activities across its active portfolio of modular data centers. The additional financing will unlock new capital to accelerate the company’s ambitious plan of building more than one gigawatt of computing capacity across its growing renewable-powered pipeline.
Building the Future of Green Digital Infrastructure
Soluna has positioned itself at the intersection of renewable energy and advanced computing. The company designs and builds modular data centers that convert curtailed or underutilized renewable energy into computational power for energy-intensive, batchable workloads. These applications include Bitcoin mining, AI training and inference, and other forms of high-performance computing.
By colocating data centers with renewable energy producers, Soluna is able to harness energy that would otherwise be wasted due to grid imbalances or transmission bottlenecks. This approach provides clean energy producers with an additional revenue stream while creating cost-effective and sustainable digital infrastructure. It also supports broader energy transition goals by enabling more renewable energy to be integrated into the grid.
A Strategic Partnership with Generate Capital
Generate Capital has deployed more than $2.4 billion in sustainable infrastructure credit since its inception, investing in projects that address climate, energy, and digital transformation challenges. This makes Generate an ideal strategic partner for Soluna as it scales its operations.
Beyond providing financing, Generate brings institutional expertise as both an asset owner and operator. Its experience managing large-scale infrastructure projects positions it to deliver more than just capital—it also brings operational knowledge and collaborative value to Soluna’s execution strategy.
John Belizaire, CEO of Soluna, emphasized the importance of the partnership:
“We believe this deal with Generate primes Soluna for scale. We’re not just growing our current projects, we’re building new ones wherever wasted renewable energy can be converted into valuable high-performance computing. This deal reflects a different kind of infrastructure financing, focused on capital efficiency, modular growth, and disciplined execution. We’ve known the Generate team for quite some time before partnering; they understand our business, our team, and our industry well, making them so much more than just investors. We see them as strategic partners going forward.”
Momentum from Previous Financing Rounds
This latest financing follows more than $30 million in funding raised earlier in 2025 from investors including Galaxy Digital, Spring Lane Capital, and proceeds from a public offering. The new $100 million facility adds significant momentum to Soluna’s roadmap, complementing the company’s recent progress on multiple large-scale projects.
With new additions such as Project Gladys (150 MW) and Project Fei (100 MW), Soluna’s renewable computing capacity now surpasses one gigawatt. These developments mark a major milestone in the company’s growth trajectory and underscore its position as a leader in renewable-powered digital infrastructure.
Ryan Miller, Principal at Generate Capital, reinforced the alignment of values between the two companies:
“Soluna’s vision for turning underutilized renewable energy into scalable computing power aligns with our belief in infrastructure that solves real-world challenges. We’re excited to support their growth through a flexible credit solution and continue our leadership at the nexus of digital and energy infrastructure.”
Expanding Pipeline and Future Projects
The company continues to advance construction at multiple flagship projects. Among them is a 48 MW expansion at Project Dorothy 2, which will be supported in part by the new facility. Additionally, Soluna has broken ground on Project Kati 1, a significant new development that will further strengthen its renewable-powered computing portfolio.
Looking forward, Soluna also intends to diversify its computing offerings beyond cryptocurrency mining. The company is actively developing capabilities for AI workloads, reflecting the massive demand for sustainable AI infrastructure as organizations across industries seek green alternatives for energy-intensive data processing.
Growing Network of Industry Partnerships
Soluna’s growth has been reinforced by a number of strategic partnerships. Recent collaborations with Blockware, Compass Mining, Galaxy Digital, and other hyperscale mining operators highlight the company’s operational maturity and its ability to deliver value to major players in the digital infrastructure ecosystem.
These partnerships are expected to play a critical role as Soluna expands into AI-driven computing, creating opportunities for collaboration across multiple verticals that require large-scale, sustainable compute resources.
Details of the Financing Structure
The $100 million credit facility includes multiple components designed to support both near-term refinancing needs and long-term expansion:
- Initial Draw: $12.6 million to refinance existing projects Dorothy 1A and Dorothy 2, unlocking equity capital for Soluna and Spring Lane Capital.
- Delayed Draw Facility: $22.9 million for continued funding of Project Dorothy 2 and the construction of Project Kati 1.
- Accordion Feature: An additional uncommitted $64.5 million that can be tapped to support Soluna’s expanding renewable-powered pipeline and to finance long-lead equipment procurement for AI-related data center growth.
- Limited Recourse: The credit facilities are limited recourse, tied to a portfolio of projects financed by Soluna and Spring Lane Capital, with no parent company guarantees required.
- Equity Incentives: Generate received warrants giving it the right to purchase 4 million shares of Soluna common stock, as well as a board observer seat, ensuring deeper alignment between the two companies.
Legal counsel for the transaction included Vinson & Elkins LLP representing Generate, while Soluna was advised by Norton Rose Fulbright LLP, O’Melveny & Myers LLP, Lowenstein Sandler LLP, and Brownstein Hyatt Farber Schreck, LLP.
Driving a Cleaner, Smarter Future
For Soluna, this financing represents more than just access to capital. It signals market validation of its business model, which seeks to link the growth of the digital economy with the sustainability imperative of the energy transition. By creating modular, scalable, and renewable-powered data centers, the company is not only addressing the growing demand for compute power but also providing a critical solution for wasted renewable energy.
As AI, blockchain, and other compute-heavy technologies continue to proliferate, the demand for environmentally responsible infrastructure will only increase. With the support of Generate Capital and other strategic partners, Soluna is well-positioned to play a leading role in shaping the future of green digital infrastructure.
