DEF 14A 1 formdef14a.htm

 

 

 

美國

證券交易委員會 及交易所

華盛頓特區，20549

 

日程 14A資訊

 

依據證券法第14(a)條，代理人聲明。

交易所 1934年法案

 

由申請人提交 ☒

由其他當事方提交 ☐ 的申請

 

勾選合適的方框：

☐ 初步委託書咨詢

☐ 保密，僅供委員會使用（根據第14a-6(e)(2)條規定）

☒ 決定性代理聲明書

☐ 決定性額外材料

☐ 依據§240.14a-12條規的招募文件

 

SOLUNA 控股公司。

(根據其章程指定的註冊人名稱)

(除註冊人外) 提交委任書的人的名字

 

付款 申請費 (勾選適當方框):

☒ 無需支付費用

☐ 按照《交易所法》第14a-6(i)(1)條和0-11條下表計算的費用

 

  (1) 交易適用的每個證券類別的標題：
     
  (2) 交易適用的證券總數：
     
  (3) 每單位價格或根據《交換法》規則0-11計算的交易基礎價值（列明計算申報費用的金額並說明如何決定）：
     
  (4) 交易的預計最大總價值：
     
  (5) 總計 已支付的費用:
     

 

☐ 之前支付了初步材料费用。

☐ 如根據《交易法》條例0-11(a)(2)規定，任何費用的部分已被抵消，並識別之前支付抵消費用的申報。請用登記聲明編號或表格或附表以及其申報日期來識別先前的申報。

 

  (1) 金額 先前付款:
     
  (2) 表格、計劃或註冊聲明編號:
     
  (3) 申報方:
     
  (4) 日期 提交：
     

 

支付 報費（勾選所有適用的框）：

 

☒ 無需支付費用

☐ 以初步材料支付的费用已经支付

☐ 根據交易所法規14(a)-6(i)(1)和0-11條規定所需的附件表中計算的費用。

 

 

 

 

 

 

 

SOLUNA 控股公司。

325 華盛頓大道展延

紐約州奧爾巴尼, 12205

 

股東特別會議通知

 

致Soluna Holdings, Inc.的股東：

 

謹此通知，Soluna Holdings, Inc.，一家內華達州公司（“公司”）的股東將於2024年11月15日美東時間上午10:00舉行特別股東大會（“特別會議”）。特別會議將完全以虛擬形式進行。您將能夠透過訪問www.virtualshareholdermeeting.com/SLNH2024Sm並輸入代理卡上包含的16位控制號碼（“代理卡”）在特別會議的網絡直播期間參加特別會議、投票、提問以及查閱我們的股東名冊。在特別會議上，我們將要求股東考慮並執行以下事項：

 

  1. 批准根據2024年8月12日與YA II PN，LTD.（“投資者”）簽訂的現金股票購買協議（“SEPA”）以及根據證券購買協議（“Series b Amendment”）的修訂，以及與公司優先轉換B系列可轉換優先股持有人簽署的指定證書，以批准我們的普通股的預留和發行，假如在SEPA和Series b Amendment下的發行可能超過公司總流通股的20％，這可能觸發納斯達克股票市場規則5635(d)條的股份發行上限（“交易所上限”）；
     
  2. 批准對Soluna Holdings，Inc.修訂和重簽2021年股權激勵計劃的修正案；和
     
  3. 批准特別股東大會的休會，如有必要，以繼續徵求對第1至第2提案的投票。

 

本公司董事會已訂定2024年10月15日為業務結束之日，以確定股東權利通知、並有權參加特別會議及其任何休會或延期的日期。僅公司普通股的記錄持有人在該日期業務結束時將有權受到特別會議及其任何休會或延期的通知及投票權。

 

董事會訂單之命令，

 

傑西卡·托馬斯  
傑西卡 L. 托馬斯  
公司 秘書  

 

紐約州奧爾巴尼 紐約

2024年10月28日

 

重要的是您的股份在特別股東大會上得到代表並投票。 無論您是否打算在虛擬方式出席會議，都請根據隨附的代理卡上的說明投票。 代理卡可以撤銷，如果您出席並在特別股東大會上投票並以"親自"方式投票，或以其他方式通知您的撤銷，代理卡將不會被使用。

 

 

 

 

 

SOLUNA 控股公司。

325 華盛頓大道展延

紐約州奧爾巴尼, 12205

 

代理人 聲明書

 

本代理聲明（以下簡稱“代理聲明”）是為了請求Soluna Holdings, Inc.（以下簡稱“公司”、“我們”或“我們”）的董事會（以下簡稱“董事會”）委託代表投票，以在2024年11月15日上午10點（美東時間）舉行的公司股東特別大會（以下簡稱“特別大會”）上投票而提供的。

 

記錄 日期和表決證券

 

指定會議通知、這份代理人聲明以及附上的代理卡（「代理卡」）將於2024年11月1日左右首次寄給公司股東們，以配合尋求代理人投票召開指定會議。我們的董事會已將2024年10月15日業務結束時設定為確定有權獲得指定會議通知並有權參與投票的股東的記錄日期（「記錄日期」）。只有在記錄日期業務結束時持有我們每股面值為0.001美元的普通股（「普通股」）的記錄持有人，以及持有我們每股面值為0.001美元的b系列優先股（「b系列優先股」）的記錄持有人，將有權獲得指定會議通知並有權在該會議上投票。我們在本代理聲明中不時將我們的普通股和b系列優先股合稱為「投票資本股票」。截至記錄日期，我們的普通股總計有8,014,058股正在流通並有權參與指定會議的投票，以及46,211股我們的普通股被視為可在記錄日期結束時換股的b系列優先股並有權在該會議上投票（但須遵守提議權證書中所規定的有利權擁有限制）。每位持有我們的普通股在記錄日期業務結束時持有的每股普通股將有權參與每項交由股東在指定會議上投票的事項，每位持有我們的b系列優先股在記錄日期業務結束時持有的每股被視為可換股為我們的每股普通股的b系列優先股將有權參與每項交由股東在指定會議上投票的事項（但須遵守有利權擁有限制）。

 

重要 有關股東股東會代理材料的通知

將於11月15日舉行, 2024.

 

特別會議通知和代理聲明可在www.proxyvote.com上獲得。

 

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關於特別會議和投票的問題和答案

 

  1. 為什麼 我會收到這些資料？

 

我們向您發送此代理聲明和附上的代理卡，因為我們的董事會正在徵求您的代理以在特別會議上投票。

 

  2. 特別會議的目的是什麼？

 

在這次特別會議上，股東將被要求考慮並採取以下措施：

 

  1. 批准根據2024年8月12日與YA II PN，LTD.（“投資者”）簽訂的現金股票購買協議（“SEPA”）以及根據證券購買協議（“Series b Amendment”）的修訂，以及與公司優先轉換B系列可轉換優先股持有人簽署的指定證書，以批准我們的普通股的預留和發行，假如在SEPA和Series b Amendment下的發行可能超過公司總流通股的20％，這可能觸發納斯達克股票市場規則5635(d)條的股份發行上限（“交易所上限”）；
     
  2. 批准對Soluna Holdings, Inc. 2021年修訂后的股票激勵計劃進行修訂;
     
  3. 批准特別股東大會的休會，如有必要，以繼續徵求對第1至第2提案的投票。

 

  3. 誰 可以在特別會議上投票?

 

只有在記錄日期為止持股的股東。每位股東將有權就特別會議提出的提案，根據記錄日期持有的我們投票股份的份額，每股享有一票，以換算基準。

 

  4. 我的投票權是什麼？

 

持有我們的投票股份的人有權每股一票（按換算基礎計算），對於我們B系列特選股，則受益權所有限制的限制。截至記錄日期，我們的普通股已有8,014,058股流通並有權在特別會議上表決，以及46,211股我們的普通股被視為在我們B系列特選股轉換後發行的股份，並有權在特別會議上表決（受益權所有限制規定）。沒有累積投票制度。

 

  5. 如何投票？

 

如果您是Record Date之後的股東，您可以通過在現場網絡轉播期間提交一張選票，在線通過訪問www.proxyvote.com並按照提供的說明操作，通過致電1-800-690-6903並按照錄製的說明操作或者郵寄，填寫，簽署，注明日期並及時將附寄的Proxy Card寄回隨附的預先地址，郵資已付的信封。

 

如果您的普通股股份以「街頭名稱」形式由銀行、經紀人或其他指定代表持有，您有權指示您的銀行、經紀人或其他指定代表如何投票您賬戶中的股份。請看下方的額外資訊。

 

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  6. 我怎麼改變我的選票？

 

您可以在特别会议的最终表决前随时撤销您的代理投票权并更改您的选票。您可以通过以下方式撤销代理：

 

  ● 通過向我們的秘書提交書面撤銷；
     
  ● 簽署並交付一份日期較晚的代理書，
     
  ● 透過互聯網或電話再次進行投票；或
     
  ● 透過在特別會議現場網絡直播提交選票進行虛擬投票。 除非您在會議上再次投票或明確要求書面撤銷，否則您出席特別會議將不會自動撤銷您的代理權。

 

請注意，如果您的股份由證券商、銀行或其他代理人持有記錄，並且您希望撤銷一份代理權，您必須聯繫該公司以撤銷任何先前的投票指示。

 

  7. 在哪裡 我什麼時候能夠找到投票的結果？

 

我們將在提交給證券交易委員會的8-K表格中發布最終結果，最遲不超過特別會議日期後的四個業務日。

 

  8. 特別會議在哪裡舉行？

 

我們將於2024年11月15日上午10:00，在東部時間舉行特別會議，以虛擬形式在www.virtualshareholdermeeting.com/SLNH2024Sm進行，除非延期或延後至其他日期。

 

  9. 我該如何參加這次特別會議？

 

特別會議將以虛擬方式舉行。您可以透過參加www.virtualshareholdermeeting.com/SLNH2024Sm的直播網絡研討會參加特別會議。

 

代理人； 代理人的投票

 

我們的董事會正在徵求代理人投票，以用於特別會議，此代理人將不會在其他會議上投票。麥克·托波瑞克是我們董事會選擇的代表，負責特別會議的代理人。

 

您的投票很重要。如果您是記錄股東，無論您是否打算通過直播網絡觀看特別會議，我們都建議您提交代理以確保您的投票被計入。即使您已經通過代理投票，您仍然可以觀看特別會議的直播網絡並親自投票。您可以通過以下方式之一進行投票：

 

  ● 透過參加該網址www.virtualshareholdermeeting.com/SLNH2024Sm的直播網頁觀看特別會議並按照有關指示進行電子投票;
     
  ● 透過前往www.proxyvote.com並按照提供的指示進行線上投票;
     
  ● 撥打1-800-690-6903進行電話投票並按照錄音指示進行;或
     
  ● 透過投票、簽名並及時寄出您的代理卡郵寄方式進行投票。

 

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每張代理所代表的股份將按照其中指定的方向投票。如果您提交了正確執行的代理卡，但是沒有填寫代理卡上的投票指示，或者在網上投票或電話投票時表明您希望按照董事會建議進行投票，則根據以下指示，您代理的股份，假設未按照下面的指示正式撤回，將由代理人按照本代理聲明中我們董事會的建議進行投票。

 

本董事會不知道除了在這份代表書中描述的事項外，特別會議上將提出其他事項。如果會議上出現其他業務，被指定為代表的人將行使酌情權，根據自己的判斷投票代表所代表的股份。

 

吊銷 代理權

 

每位提供代表權的股東在被該代表權所代表的股份投票之前隨時有權撤銷該代表權。代表權可以在行使前通過：(i) 通過互聯網、電話或郵件執行和遞交晚於前面的日期的代表權；(ii) 在特別股東大會前向我們秘書遞交撤銷代表權的書面通知；或者 (iii) 登錄特別股東大會的現場網絡廣播並按照特別股東大會的指示投票。請注意，股東參加特別股東大會的現場網絡廣播本身並不會撤銷該股東的代表權。

 

根據本文件規定的條款，我們收到的所有代理，均將生效，儘管涉及的股份發生轉讓，除非在特別會議前或當天，我們收到一份由截至記錄日期的股東簽署的撤銷通知。撤銷通知必須指明相關的證書號碼及股份數量，以及該證書所代表的股份總數。

 

如果 您的股份以「街名」持有，如下標題「受益人：股份註冊在經紀人、銀行或其他提名人名下」所述，您必須聯繫您的經紀人、銀行或其他提名人，以撤銷任何先前的投票指示。

 

有益 擁有人：股份登記在經紀人、銀行或其他提名人名下

 

我們的普通股中有許多股份是以「街名」持有，意思是存管機構、券商或其他金融機構以其名義持有這些股份，但這些股份實際上由其他人所擁有。如果您的普通股於記錄日期以街名持有，您應該會收到記錄持有人發來的指示，您必須按照該指示指定您的股份如何在特別股東大會上投票；或者，您可以使用Broadridge提供的投票信息表單，指示您的記錄所有人如何投票您的股份。一般來說，作為券商的街名持有人必須從股份的實際擁有人那裡獲得指示，才能就某些有限的例行未受爭議事項進行投票，例如對審計師的批准。在非例行或有爭議的事項中，持有街名股份的券商機構如果沒有從其中有利益的持有人那裡收到投票指示，則不能就該事項進行投票。當券商收到代理的情況下卻沒有將該代理代表的股份投票給特定事項時，即發生了券商「不投票」的情況，這是因為券商沒有收到有權投票該特定事項的有利益擁有人或其他有權投票的人的指示，對於券商沒有酌情權投票的事項，券商機構就無法代表投票。

 

如果您的股份由除了經紀以外的人或機構持有記錄，則該代表是否可以在沒有您的指示的情況下，在特別會議上對您的股份行使自行決定權，將取決於您與該代表持有記錄的個人安排，特別是您是否已授予該記錄持有者對您的股份行使自行決定權。如果沒有與您的記錄持有者安排授予此類自行決定權的安排，您的記錄持有者代表在沒有來自您的具體投票指示的情況下，將無權在特別會議上就任何事項投票。

 

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如果在股東名冊記錄日期，您的投票資本股股份存放在經紀人、銀行或其他代名人的賬戶中，則您是以"街名"名義持有的股份的受益人，並且代理材料是由該組織轉交給您。 持有您的帳戶的組織被認為是記錄持有人。作為受益所有人，您可以指示您的經紀人、銀行或代名人如何投票您帳戶中的股份，或者可以在特別股東大會上使用您的投票指示表上包含的16位數控制號碼或由持有您股份的組織提供的其他方式進行"表決"（提供指示）。

 

法定人数 和计票方法

 

出席股東人數（親自或代理人）佔已發行普通股總數的33 1/3% 以上，方視為特別會議召開之法定人數。假設有法定人數出席，則特別會議所提案須得我們已發行普通股出席股東中，以親自或代理人出席並對第1、2、3議案投票者，以肯定或否定投票，取得出席股東過半數的肯定票方為通過。您可對這些提案投票「贊成」、「反對」或「棄權」。棄權票和代理商未投票並不影響這些提案的投票結果。

 

會議中指定的一位或多位選舉人將彙總特別會議上親自或代理投票的票數，並判斷是否有法定人數。選舉人會將棄權票視為出席且有權投票的股份，用於判斷是否有法定人數，但不視為用於任何提交給股東表決的事項。由於棄權票不包含在任何提案相關的投票計算中，所以對提案1、2和3結果不會產生影響。

 

若經紀提交一份代理，指出對某些股票沒有自主權來在特定事項上進行投票，則這些股份將被視為現有且有權投票，以決定法定人數，但將不被視為在提交給股東投票的事項上進行投票。因此，經紀人無投票將不會影響提案1、2和3的結果。

 

特別會議的格式與入場方式

 

我們將以全虛擬形式舉行特別會議，這將通過網絡直播方式在互聯網上進行。此外，我們可能將來年繼續以全虛擬形式舉行特別會議，因為我們相信虛擬形式更加環保，能夠讓股東參與更廣泛，並降低舉行特別會議的成本。我們打算以一種方式舉行我們的虛擬特別會議，即在盡可能大的程度上讓股東享有在實體會議中所擁有的一般權利和參與機會。

 

特別會議將於2024年11月15日上午10:00（東部時間）通過互聯網現場舉行，網址為www.virtualshareholdermeeting.com/SLNH2024Sm。 您將無法親自出席會議。特別會議的參與和出席僅限於我們截至2024年10月15日業務收盤時的股東 記錄，以及持有有效代理參加特別會議的其他人。線上訪問 將於2024年11月15日上午9:45（東部時間）開始，我們鼓勵您在開始時間之前訪問特別會議。 進入www.virtualshareholdermeeting.com/SLNH2024Sm的特別會議，您必須輸入包括 在您的代理卡上或者對於以“街道名稱”持有的股份的有利擁有人，“有利擁有人 :股份註冊在經紀商，銀行或其他提名人名下”下討論的內容。如果您遇到困難 訪問虛擬會議，請撥打即將張貼的技術支援號碼 www.virtualshareholdermeeting.com/SLNH2024SM.

 

6

 

 

股東 將有機會透過線上平台在特別大會期間提問。您可以登錄虛擬會議平台www.virtualshareholdermeeting.com/SLNH2024Sm，輸入問題到“賣盤”欄位並點擊“提交”。僅會議相關問題將在特別大會期間回答，但需考慮時間限制。涉及個人事務或不相關於特別大會的問題將不予回覆。 如果我們收到類似的問題，我們將將它們合併在一起避免重複。如果有與會相關問題無法在大會期間回答，因為時間限制，我們將在https://www.solunacomputing.com/investors張貼對其中一組此類問題的回答，盡快提供問題與答案。

 

特別會議資料的管理

 

一些銀行、經紀商和其他提名記錄持有人可能參與“合併”代理陳述的做法。這意味著我們向股東發送的股東代理陳述只寄送了一份副本給分享同一地址的多個股東，除非我們收到相反的指示。在書面或口頭請求後，我們將立即向任何股東發送這兩個文件的單獨副本。請通過郵寄請求至：Soluna Holdings, Inc.，ATTN：投資者關係部，325 Washington Avenue Extension，Albany，紐約12205；通過電子郵件：hello@soluna.io或通過電話：(516) 216-9257。任何想要在未來收到我們代理聲明的獨立副本的股東，或任何正在收到多份副本並希望在將來只收到一份副本的股東，應聯繫他們的銀行、經紀人或其他提名記錄持有者，或直接與我們聯繫上面列出的地址、電子郵件地址或電話號碼。

 

代理 拉票支出

 

我們的董事、高級職員和員工，沒有另外收取報酬的情況下，可以親自或透過電話、傳真或電子郵件徵求委任書。我們將支付所有在特別股東大會徵求委任書時產生的成本和費用。我們還將就向擁有我們持股的投票股份但以街名持有的客戶或受益人轉發委任書材料而產生的合理費用，向銀行、證券商和其他代理人提供補償。

 

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建議 第1號

 

根據SEPA批准的一項潛在發行，並與持有人對於b系列可轉換優先股的協議的修訂相關，超出納斯達克交易所的限制

 

我們的普通股目前在納斯達克上市，因此我們需遵守納斯達克的規則，該規則要求我們在與某些非公開發行有關的情況下，即以公司股票（或可轉換為或可行使為公司股票的證券）發行、發行或潛在發行的數量等於已發行的普通股的20％或更多之前，獲得股東批准。

 

概覽

 

2024年8月12日，公司與開曼群島免稅有限合夥企業YA II PN，LTD.（以下簡稱「投資者」）簽訂了待售股權購買協議（Standby Equity Purchase Agreement，“SEPA”），根據協議，公司有權在SEPA的有效期內向該投資者出售最多2500萬美元的普通股，但受SEPA中設定的某些限制和條件的約束，公司不時可根據SEPA出售普通股。SEPA中的這些條件要求Series b股票持有人的同意並修改與該持有人的某些協議。為獲得此等同意，公司同意將Series b股票的轉換價格從每股135.25美元調整為每股5美元，並發行有效期五年的認股權證，以購買額外的14萬股普通股，行使價為每股0.01美元。由於Series b修正案與SEPA相關，根據股東批准，SEPA下可發行的普通股與SEPA下可發行的股票整合在一起並受納斯達克交易所交易所股份上限規則的股東批准，請參見下文。

 

在滿足SEPA中投資者購買義務條件，包括註冊一份由證券交易委員會（“SEC”）宣告生效、登記再銷售在SEPA下可發行的普通股的登記聲明後，公司將有權，但非義務，隨時酌情指示投資者通過發送書面通知（“預告”）購買指定數量的普通股（“預付款”）。雖然任何預先付款沒有強制的最低金額，但適用於該預付款的最大預付款金額將等於在預先付款通知日期之前連續五個交易日中證券公司普通股在美股盤中由彭博L.P.報告的每日交易量的平均值（“每日交易金額”）。

 

根據預先選擇的方案，普通股的購買期權將由公司選擇其中一種定價期權進行發行和賣出給投資者。在第一選項（“定價選項1”）下，公司將以證券的市價（如下所定義）96%價格賣出給投資者，任何期間開始於：（i）若交易日早於東部時間上午9:00提交給投資者即於當天開市時或（ii）若在交易日東部時間上午9:00後提交給投資者，需經公司收到投資者書面確認接受預先通知，而且，在任何情況下，於紐約市時間下午4:00結束於適用預先通知日期的（“選項1定價期間”）。根據第二選擇（“定價選項2”），公司將以股票的市價97%價格賣出給投資者，連續三個交易日從預先通知日期開始（“選項2定價期間”）。“市價”被定義為，任何選項1定價期間，納斯達克上的普通股日成交量加權平均價格（“VWAP”），以及任何選項2定價期間，納斯達克上普通股最低VWAP。

 

根據適用的納斯達克規定和SEPA的條款，在任何情況下公司不得向投資者和b系列股東發行超過SEPA和b系列修正案簽署前立即流通的普通股的19.99%股份（”交易所上限“），除非（i）公司獲得股東批准根據適用的納斯達克規定發行超過交易所上限的普通股股份，或者（ii）投資者為公司根據SEPA指示購買的所有普通股的平均每股價格，如果有的話，等於或超過（a）SEPA簽署前納斯達克普通股的官方收盤價和（b）SEPA簽署前五個連續交易日納斯達克普通股的平均官方收盤價，根據納斯達克的要求進行調整。此外，公司不得向投資者根據SEPA和b系列持有人發行或出售任何普通股，如果加上投資者及其聯屬公司利益據公平交易法第13(d)條和條例13d-3的計算方式擁有的所有其他普通股將使投資者及b系列持有人分別擁有超過9.99%和4.99%的流通普通股。

 

8

 

 

根據公司不時確定的各種因素，實際銷售普通股股份給投資者作為SEPA預付款，這些因素可能包括市場條件、普通股交易價格以及公司對業務和運營的適當資金來源的決定。

 

SEPA將自動於以下兩者中最早發生的日期終止：(i) SEPA執行日期滿24個月週年紀念日；或者(ii) 公司依SEPA已完全發行預付款。 公司有權在提前五(5)個交易日書面通知投資者的情況下免費或無罰金地終止SEPA，前提是沒有需要發行普通股份的預付款通知。

 

The net proceeds under the SEPA to the Company will depend on the frequency and prices at which Common Stock is sold. The Company expects that proceeds received from such sales will be used primarily for working capital and general corporate purposes.

 

Reasons for Financing

 

We believe that the SEPA transaction provides necessary additional sources of capital to the Company. The proceeds that we expect to receive from this transaction will allow the Company to fund its business operations. This transaction provides the Company with future flexibility to enhance its liquidity in an opportunistic and efficient manner, and only when the Company deems it to be necessary. We remain focused on creating long-term value for our stockholders, and this transaction will allow us to be strategic in how we access and deploy capital primarily in support of the ongoing development and distribution of our products.

 

Reasons for the Stockholder Approval

 

Our Common Stock is listed on Nasdaq, and as a result, we are subject to the Nasdaq Listing Rules. In order to comply with the Nasdaq Listing Rules, we are seeking stockholder approval of this proposal to potentially sell additional shares of Common Stock above the Exchange Cap.

 

Nasdaq Listing Rule 5635(d) requires stockholder approval prior to the issuance of securities in connection with a transaction other than a public offering involving the sale, issuance or potential issuance of common stock (or securities convertible into or exercisable for common stock) in an amount equal to 20% or more of the common stock or 20% or more of the voting power outstanding before the issuance at a price less than the “Minimum Price.” The Minimum Price is defined as the lower of (i) the closing price of the common stock immediately preceding the signing of the sale agreement or (ii) the average closing price of the common stock for the five trading days immediately preceding the signing of the sale agreement.

 

Accordingly, we are seeking stockholder approval under Nasdaq Listing Rule 5635(d) for the sale, issuance or potential issuance by us of Common Stock (or securities convertible into or exercisable for our Common Stock) in excess of 20% of the shares of our Common Stock outstanding immediately prior to the SEPA at an exercise price less than the Minimum Price in connection with the SEPA and the Series B Amendment.

 

Consequences of Not Approving this Proposal

 

The Board is not seeking the approval of our stockholders to authorize our entry into the SEPA. The SEPA has already been executed and delivered, and the closing of the SEPA has occurred. The failure of our stockholders to approve this proposal will mean that the issuance of shares of Common Stock in accordance with the SEPA and the associated Series B Amendment will be limited to an amount up to the Exchange Cap and we will not be able to realize the full benefit of this important financing transaction.

 

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Additional Information

 

We intend this summary to provide you with basic information concerning the SEPA and associated Registration Rights Agreement. The full text of the SEPA and Registration Rights Agreement are filed as exhibits to our Current Report on Form 8-K filed with the SEC on September 9, 2024. The full text of the Series B Amendment and the associated amendment to the Certificate of Designation for the Series B Stock are filed as exhibits to our Current Report on Form 8-K filed with the SEC on October 3, 2024.

Required Vote

 

The affirmative vote of a majority of the shares of our Voting Capital Stock present in person or represented by proxy at the Special Meeting and casting votes affirmatively or negatively thereon is required for approval of Proposal No. 1. You may vote “FOR,” “AGAINST,” or “ABSTAIN” on this proposal. Abstentions and broker non-votes will not affect the outcome of voting on this proposal.

 

Board Recommendation

 

Our Board of Directors recommends a vote “FOR” the approval of Proposal No. 1.

 

PROPOSAL 2:

 

AMENDMENT OF THE 2021 STOCK INCENTIVE PLAN

 

We currently maintain the 2021 Stock Incentive Plan (the “2021 Plan” or “Plan”) and believe that the Plan is an important part of attracting, retaining and incentivizing highly qualified employees (“Eligible Participants”) and provides incentives that align the economic interests of plan participants with those of our stockholders. The 2021 Plan was adopted on February 12, 2021 and has been amended and restated on October 29, 2021, May 27, 2022, March 10, 2023, and May 30, 2024.

 

The Board is requesting that you approve an amendment to the Plan. Under the Plan, the number of shares of common stock available for awards is limited to 18.75% of the number of Common Shares outstanding as of the first trading day of each quarter. The amendments to the Plan would change this limitation to 22.75% from the first quarter of our fiscal year ending December 31, 2025 through the second quarter of our fiscal year ending December 31, 2027. However, under the amendment to the Plan, effective at the end of the second quarter of our fiscal year ending December 31, 2027 the percentage will revert to 18.75% of the number of Common Shares outstanding as of the first trading day of each quarter. The text of the amendment is attached as Annex A to this Proxy statement.

 

The number of shares available for awards under the 2021 Plan under the current calculation and also under the amended Plan, based upon the outstanding shares of 7,649,478 on September 30, 2024, are 698,176 and 1,185,670,_respectively.

 

The Board and management are of the opinion that this number will not be sufficient in the short to medium term to attract, retain and incentivize talented and highly qualified employees, which has been exacerbated by our expansion into the AI business through Soluna Cloud. Our calculations suggest that it is prudent to replenish the share reserve at this time. Without the additional shares, we would need to make larger cash payments to Eligible Participants. Cash rewards are unlikely to align them and stockholders in the same way that equity grants will. To enable us to continue offering meaningful equity-based incentives to Eligible Participants, the Board believes that it is both necessary and appropriate to increase the number of shares of Common Stock available for these purposes.

 

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Accordingly, we are asking our stockholders to approve the proposed amendments of the Plan as described above. Each of the Plans’ provisions regarding the limitation on the number of shares available for awards is identical and revised as follows:

 

Share Reserve and Limitation of Grants.

 

Subject to certain adjustments as provided herein, the maximum aggregate number of Common Shares available for awards hereunder that may be issued hereunder (excluding the number of Common Shares subject to Specified Awards (as hereinafter defined)) after giving effect to the issuance of Common Shares (i) pursuant to the exercise of Options, (ii) as unrestricted Common Shares or Restricted Common Stock, and (iii) in settlement of RSUs shall be limited to, beginning with (x) the first quarter of our fiscal year ending December 31, 2023 (or January 1, 2023) and continuing through our fiscal year ending December 31, 2024, 18.75% of the number of Common Shares outstanding as of the first trading day of each quarter in such period; (y) the first quarter of our fiscal year ending December 31, 2025 (or January 1, 2025) and continuing through the second quarter of our fiscal year ending December 31, 2027, 22.75% of the number of Common Shares outstanding as of the first trading day of each quarter in such period; and (z) the second quarter of our fiscal year ending December 31, 2027 (or July 1, 2027), 18.75% of the number of Common Shares outstanding as of the first trading day of each quarter. Subject to certain adjustments as provided herein, the maximum aggregate number of Preferred Shares that may be issued hereunder as unrestricted Preferred Shares or Restricted Preferred Stock shall equal $3,600,000 valued as of the Effective Date (as hereinafter defined) determined at the average of the daily volume weighted average price of the Preferred Shares on Nasdaq (as hereinafter defined) as reported by Bloomberg L.P. for each trading day during the period of thirty days ending on the Effective Date. Subject to certain adjustments as provided herein, (A) Common Shares and Preferred Shares subject to this Plan shall include Common Shares and Preferred Shares which reverted back to this Plan pursuant to Section 4(b) below in a prior quarter or fiscal year, as applicable, and (B) the number of Common Shares and Preferred Shares that may be issued under this Plan may never be less than the number of Common Shares or Preferred Shares that are then outstanding under (or available to settle existing) Awards. For purposes of determining the number of Common Shares or Preferred Shares available under this Plan, Common Shares or Preferred Shares withheld by the Company to satisfy applicable tax withholding or exercise price obligations pursuant to Section 10(e) of this Plan shall be deemed issued under this Plan.

 

Required Vote

 

The affirmative vote of a majority of the shares of our Voting Capital Stock present in person or represented by proxy at the Special Meeting and casting votes affirmatively or negatively thereon is required for approval of Proposal No. 2. You may vote “FOR,” “AGAINST,” or “ABSTAIN” on this proposal. Abstentions and broker non-votes will not affect the outcome of voting on this proposal.

 

Board Recommendation

 

Our Board of Directors recommends a vote “FOR” the approval of Proposal No. 2.

 

PROPOSAL NO. 3

 

APPROVAL OF THE ADJOURNMENT PROPOSAL

 

General

 

If we fail to receive enough votes to approve Proposal Nos. 1 and 2, we may propose to adjourn the Special Meeting. We currently do not intend to propose adjournment at the Special Meeting if there we receive enough votes to approve Proposal Nos. 1 and 2.

 

Required Vote

 

The affirmative vote of a majority of the shares of our Voting Capital Stock present in person or represented by proxy at the Special Meeting and casting votes affirmatively or negatively thereon is required for approval of Proposal No. 3. You may vote “FOR,” “AGAINST,” or “ABSTAIN” on this proposal. Abstentions and broker non-votes will not affect the outcome of voting on this proposal.

 

Board Recommendation

 

Our Board of Directors recommends a vote “FOR” the approval of Proposal No. 3.

 

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ADDITIONAL INFORMATION

 

SECURITY OWNERSHIP OF CERTAIN BENEFICIAL OWNERS AND

MANAGEMENT AND RELATED STOCKHOLDER MATTERS

 

The following table sets forth certain information regarding shares of Common Stock beneficially owned as of October 15, 2024, for (i) each stockholder known to be the beneficial owner of more than 5% of our outstanding shares of Common Stock, (ii) each named executive officer and director, and (iii) all executive officers and directors as a group. A person is considered to beneficially own any shares over which such person, directly or indirectly, exercises sole or shared voting or investment power.

 

Name of Beneficial Owner(2)  Number(2)   Percent of
Class(1)		 
Executive Officers          
Michael Toporek(4)(9)   959,936    12.0%
John Belizaire(14)   335,487    4.2%
Jessica L. Thomas(3)   29,391    * 
John Tunison.(13)   106,756    1.3%
Mary Jennifer O’Reilly(15)   81,744    1.0%
           
Non-Employee Directors          
Matthew E. Lipman(6)(9)   231,680    2.9%
William P. Phelan(12)   119,370    1.5%
Thomas J. Marusak(7)   103,307    1.3%
Edward R. Hirshfield(5)   80,842    1.0%
William Hazelip(11)   80,556    1.0%
John Bottomley(10)   81,136    1.0%
David C. Michaels (8)   125,455    1.6%
All current directors and executive officer as a group (12 persons)        27.3%

 

* Less than 1%

 

(1) Based on 8,014,058 shares of Common Stock outstanding on October 15, 2024, and, with respect to each individual holder, rights to acquire shares of Common Stock exercisable within 60 days of October 15, 2024.
   
(2) Unless otherwise indicated, each of the stockholders has sole voting and investment power with respect to the shares of Common Stock beneficially owned by the stockholder.
   
(3) Includes 400 restricted stock units representing shares of Common Stock, which shall vest in two equal installments of 50% on December 1, 2023 and December 1, 2024 , in each case subject to the reporting person remaining in the service of our company on each such vesting date. Includes 500 shares of Common Stock issuable to Ms. Thomas upon exercise of stock options exercisable within 60 days of October 15, 2024. Includes 14,279 restricted stock awards representing shares of Common Stock, which will vest 33% on June 1, 2024, 33% on June 1, 2025, and 34% on June 1, 2026, in each case subject to the reporting person remaining in the service of the Company on each such vesting date. Includes 12,012 restricted stock awards representing shares of Common Stock, which will vest 33% on September 1, 2025, 33% on September 1, 2026, and 34% on September 1, 2027, in each case subject to the reporting person remaining in the service of the Company on each such vesting date.
   
   
(4) Includes 300 shares of Common Stock issuable to Mr. Toporek upon exercise of stock options exercisable as of October 15, 2024. Includes 809,636 restricted stock awards representing shares of Common Stock, which will vest 100% upon the reporting person’s separation from the Company. Also includes 150,000 shares of Common Stock owned by Mr. Toporek indirectly pursuant to his position with Brookstone XXIV and/or its affiliates.

 

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(5) Excludes 246 of 820 restricted stock units representing shares of Common Stock, which shall vest as follows: 37% vest 12 months from the grant date, or January 14, 2023, 33% vest 24 months from the grant date, or January 14, 2024, and 30% vest 36 months from the grant date, or January 14, 2025, in each case subject to Mr. Hirshfield remaining in the service of our company on each such vesting date. Includes 300 shares of Common Stock issuable to Mr. Hirshfield upon exercise of stock options exercisable within 60 days of October 15, 2024. Includes 53,113 restricted stock awards representing shares of Common Stock, which will vest 100% upon the reporting person’s separation from the Company. Includes 14,423 restricted stock awards representing shares of Common Stock, which will vest 33% on June 1, 2025, 33% on June 1, 2026, and 34% on June 1, 2027, in each case subject to the reporting person remaining in the service of the Company on each such vesting date. Includes 12,132 restricted stock awards representing shares of Common Stock, which will vest 33% on September 1, 2025, 33% on September 1, 2026, and 34% on September 1, 2027, in each case subject to the reporting person remaining in the service of the Company on each such vesting date.
   
(6) Excludes 246 of 820 restricted stock units representing shares of Common Stock, which shall vest as follows: 37% vest 12 months from the date of the grant, or January 14, 2023, 33% vest 24 months from the date of the grant, or January 14, 2024, and 30% vest 36 months from the date of the grant, or January 14, 2025, in each case subject to Mr. Lipman remaining in the service of our company on each such vesting date. Excludes 246 of 820 restricted stock units, which shall vest as follows: 37% vest 12 months from the grant date, or January 26, 2023, 33% vest 24 months from the grant date, or January 26, 2024, and 30% vest 36 months from the grant date, or January 26, 2025, in each case subject to Mr. Lipman remaining in the service of our company on each such vesting date. Includes 300 shares of Common Stock issuable to Mr. Lipman upon exercise of stock options exercisable within 60 days of October 15, 2024. Includes 79,668 restricted stock awards representing shares of Common Stock, which will vest 100% upon the reporting person’s separation from the Company. Also includes 150,000 shares of Common Stock owned by Mr. Lipman indirectly pursuant to his position with Brookstone Partners XXIV and/or its affiliates.
   
(7) Excludes 492 of 1,640 restricted stock units representing shares of Common Stock, which shall vest 12 months from the date of the grant, or January 14, 2023, 33% vest 24 months from the date of the grant, or January 14, 2024, and 30% vest 36 months from the date of the grant, or January 14, 2025, in each case subject to Mr. Marusak remaining in the service of our company on each such vesting date. Includes 125 shares of Common Stock issuable to Mr. Marusak upon exercise of stock options exercisable within 60 days of October 15, 2024. Includes 50,610 restricted stock awards representing shares of Common Stock, which will vest 33% on June 1, 2024, 33% on June 1, 2025, and 34% on June 1, 2026, in each case subject to the reporting person remaining in the service of the Company on each such vesting date. Includes 42,568 restricted stock awards representing shares of Common Stock, which will vest 33% on September 1, 2025, 33% on September 1, 2026, and 34% on September 1, 2027, in each case subject to the reporting person remaining in the service of the Company on each such vesting date.
   
(8) Excludes 492 of 1,640 restricted stock units representing shares of Common Stock, which shall vest as follows: 37% vest 12 months from the grant date, or January 14, 2023, 33% vest 24 months from the grant date, or January 14, 2024, and 30% vest 36 months from the grant date, or January 14, 2025, in each case subject to Mr. Michaels remaining in the service of our company on each such vesting date. Includes 1,200 shares of Common Stock issuable to Mr. Michaels upon exercise of stock options exercisable within 60 days of October 15, 2024. Includes 25,309 restricted stock awards representing shares of Common Stock that vested 100% on date of grant of April 15, 2024. Also includes, 93,178 restricted stock awards representing shares of Common Stock, which will vest 100% upon the reporting person’s separation from the Company.
   
(9) Representatives of Brookstone XXIV have provided us the following information: As the Manager of Brookstone XXIV, Brookstone Partners I.A.C. may be deemed to beneficially own the shares of Common Stock owned directly by Brookstone XXIV. Michael Toporek is President of Brookstone Partners I.A.C. and Matthew Lipman is Secretary of Brookstone Partners I.A.C. and share voting and dispositive power over the shares of Common Stock owned by Brookstone XXIV. As a result of the foregoing, in computing the beneficial ownership of all executive officers and directors, as a group, the 150,000 shares of Common Stock owned indirectly by each of Mr. Toporek and Mr. Lipman, as a result of their interests in Brookstone XXIV and/or its affiliates, is only counted once. The address of each of Brookstone XXIV, Brookstone Partners I.A.C., Michael Toporek, and Matthew Lipman is 232 Madison Avenue, Suite 600, New York, New York 10016.
   
(10) Excludes 246 of 820 restricted stock units representing shares of Common Stock, which shall vest as follows: 37% vest 12 months from the grant date, or January 14, 2023, 33% vest 24 months from the grant date, or January 14, 2024, and 30% vest 36 months from the grant date, or January 14, 2025, in each case subject to Mr. Bottomley remaining in the service of our company on each such vesting date. Excludes 246 of 820 restricted stock units representing shares of Common Stock, which shall vest as follows: 37% vest 12 months from the grant date, or January 26, 2023, 33% vest 24 months from the grant date, or January 26, 2024, and 30% vest 36 months from the grant date, or January 26, 2025, in each case subject to Mr. Bottomley remaining in the service of our company on each such vesting date. Includes 79,668 restricted stock awards representing shares of Common Stock, which will vest 100% upon the reporting person’s separation from the Company.

 

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(11) Excludes 246 of 820 restricted stock units representing shares of Common Stock, which shall vest as follows: 37% vest 12 months from the grant date, or January 14, 2023, 33% vest 24 months from the grant date, or January 14, 2024, and 30% vest 36 months from the grant date, or January 14, 2025, in each case subject to Mr. Hazelip remaining in the service of our company on each such vesting date. Includes 79,668 restricted stock awards representing shares of Common Stock, which will vest 100% upon the reporting person’s separation from the Company.
   
(12) Excludes 726 of 2,420 restricted stock units representing shares of Common Stock, which shall vest as follows: 37% vest 12 months from the grant date, or January 14, 2023, 33% vests 24 months from the grant date, or January 14, 2024, and 30% vest 36 months from the grant date, or January 14, 2025, in each case subject to Mr. Phelan remaining in the service of our company on each such vesting date. Excludes 246 of 820 restricted stock units representing shares of Common Stock, which shall vest as follows: 37% vest 12 months from the grant date, or January 26, 2023, 33% vest 24 months from the grant date, or January 26, 2024, and 30% vest 36 months from the grant date, or January 26, 2025, in each case subject to Mr. Phelan remaining in the service of our company on each such vesting date. Includes 250 shares of Common Stock issuable to Mr. Phelan upon exercise of stock options exercisable within 60 days of October 15, 2024. Includes 106,756 restricted stock awards representing shares of Common Stock, which will vest 100% upon the reporting person’s separation from the Company.
   
(13) Mr. Tunison was appointed Chief Financial Officer of the Company on April 8, 2024 and was granted 57,987 restricted stock awards of Common Stock which will vest 33% on June 1, 2025, 33% on June 1, 2026, and 34% on June 1,2027, in each case subject to the reporting person remaining in the service of the issuer on each such vesting date. Also includes 48,769 restricted stock awards representing shares of Common Stock, which will vest 33% on September 1, 2025, 33% on September 1, 2026, and 34% on September 1, 2027, in each case subject to the reporting person remaining in the service of the Company on each such vesting date.
   
(14) Includes 1,123 shares of restricted Common Stock awards held by Mr. Belizaire that are subject to forfeiture, and will vest on November 1, 2024. Includes 181,294 restricted stock awards representing shares of Common Stock, which will vest 33% on June 1, 2024, 33% on June 1, 2025, and 34% on June 1, 2026, in each case subject to the reporting person remaining in the service of the Company on each such vesting date. Includes 152,043 restricted stock awards representing shares of Common Stock, which will vest 33% on September 1, 2025, 33% on September 1, 2026, and 34% on September 1, 2027, in each case subject to the reporting person remaining in the service of the Company on each such vesting date
   
(15) Includes 480 restricted stock units representing shares of Common Stock, which shall vest in two equal installments of 50% on December 1, 2023 and December 1, 2024, in each case subject to the reporting person remaining in the service of our company on each such vesting date. Includes 43,271 restricted stock awards representing shares of Common Stock, which will vest 33% on June 1, 2024, 33% on June 1, 2025, and 34% on June 1, 2026, in each case subject to the reporting person remaining in the service of the Company on each such vesting date. Includes 36,397 restricted stock awards representing shares of Common Stock, which will vest 33% on September 1, 2025, 33% on September 1, 2026, and 34% on September 1, 2027, in each case subject to the reporting person remaining in the service of the Company on each such vesting date.

 

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STOCKHOLDER COMMUNICATIONS WITH THE BOARD OF DIRECTORS

 

Stockholders who wish to communicate with our Board, or a particular director, may send a letter to our Secretary at 325 Washington Avenue Extension, Albany, New York 12205. The mailing envelope must contain a clear notation indicating that the enclosed letter is a “Stockholder-Board Communication.” All such letters must identify the author as a stockholder and clearly state whether the intended recipients are all members of our Board or certain specified individual directors. The Secretary will make copies of all such letters and circulate them to the appropriate director or directors.

 

STOCKHOLDER PROPOSALS

 

In order to be included in the proxy materials for our annual meeting of stockholders to be held in 2025, stockholder proposals submitted to us in compliance with SEC Rule 14a-8 (which concerns stockholder proposals that are requested to be included in a company’s proxy statement) must be received by us at our offices, 325 Washington Avenue Extension, Albany, New York 12205 on or before December 14, 2024. We suggest that proponents submit their proposals by certified mail, return receipt requested, addressed to our Secretary.

 

With respect to stockholder proposals to be submitted outside the Rule 14a-8 process for consideration at the 2025 annual meeting of stockholders, if we do not receive notice of any such proposal to be presented at the 2024 annual meeting of stockholders on or before February 28, 2025, the proxies designated by our Board will have discretionary authority to vote on any such proposal. In addition, stockholders who intend to solicit proxies in support of director nominees other than our nominees must also comply with the additional requirements of Rule 14a-19(b).

 

OTHER MATTERS

 

We do not know of any matters that will be brought before the Special Meeting other than those specifically set forth in the notice thereof. If any other matter properly comes before the meeting for which we did not receive notice by October 15, 2024, however, it is intended that the shares represented by proxies will be voted with respect thereto in accordance with the best judgment of the person voting them.

 

  By Order of the Board of Directors,
   
  /s/ Jessica L. Thomas
  Jessica L. Thomas
  Chief Accounting Officer and Secretary

 

Albany, New York

October 28, 2024

 

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Annex A

 

Section 4(a) shall be amended and restated as follows:

 

Share Reserve and Limitation of Grants. Subject to certain adjustments as provided herein, the maximum aggregate number of Common Shares available for awards hereunder that may be issued hereunder (excluding the number of Common Shares subject to Specified Awards (as hereinafter defined)) after giving effect to the issuance of Common Shares (i) pursuant to the exercise of Options, (ii) as unrestricted Common Shares or Restricted Common Stock, and (iii) in settlement of RSUs shall be limited to, beginning with (x) the first quarter of our fiscal year ending December 31, 2023 (or January 1, 2023) and continuing through our fiscal year ending December 31, 2024, 18.75% of the number of Common Shares outstanding as of the first trading day of each quarter in such period; (y) the first quarter of our fiscal year ending December 31, 2025 (or January 1, 2025) and continuing through the second quarter of our fiscal year ending December 31, 2027, 22.75% of the number of Common Shares outstanding as of the first trading day of each quarter in such period; and (z) the second quarter of our fiscal year ending December 31, 2027 (or July 1, 2027), 18.75% of the number of Common Shares outstanding as of the first trading day of each quarter. Subject to certain adjustments as provided herein, the maximum aggregate number of Preferred Shares that may be issued hereunder as unrestricted Preferred Shares or Restricted Preferred Stock shall equal $3,600,000 valued as of the Effective Date (as hereinafter defined) determined at the average of the daily volume weighted average price of the Preferred Shares on Nasdaq (as hereinafter defined) as reported by Bloomberg L.P. for each trading day during the period of thirty days ending on the Effective Date. Subject to certain adjustments as provided herein, (A) Common Shares and Preferred Shares subject to this Plan shall include Common Shares and Preferred Shares which reverted back to this Plan pursuant to Section 4(b) below in a prior quarter or fiscal year, as applicable, and (B) the number of Common Shares and Preferred Shares that may be issued under this Plan may never be less than the number of Common Shares or Preferred Shares that are then outstanding under (or available to settle existing) Awards. For purposes of determining the number of Common Shares or Preferred Shares available under this Plan, Common Shares or Preferred Shares withheld by the Company to satisfy applicable tax withholding or exercise price obligations pursuant to Section 10(e) of this plan shall be deemed issued under this Plan.

 

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