Summary

  • Soluna announced on 26 October that it had fully repaid Generate Capital’s facility, terminated it and obtained release of liens on related project assets, clearing a stated route for power to move to its planned Dorothy 3 AI campus.
  • The repayment headline carries a bookkeeping snag: the release says $28.7 million of Generate principal was outstanding on 30 June; Soluna’s SEC-filed 10-Q says gross principal under the amended agreement was $27.5 million. The documents reviewed do not reconcile the $1.2 million difference.

Soluna has released the collateral. The paperwork has left one small, seven-figure loose end.

The data-centre developer said on 26 October that it had paid off its Generate Capital credit facility in full. Generate’s liens on related project assets have been released, Soluna said, allowing the transition of power to its planned Dorothy 3 AI campus. The company’s release describes the event as the retirement of $28.7 million in principal outstanding at 30 June.

Soluna’s own second-quarter filing gives a different figure for that same date. The 10-Q reports approximately $27.5 million of gross principal outstanding under the amended Generate agreement. The two company disclosures leave a $1.2 million gap, and the filings examined here do not explain it.

The chronology is clearer than the balance. On 10 August, Soluna prepaid two loan tranches. The 10-Q puts that payment at about $19.1 million in total, including $15.2 million of principal, a $3.9 million prepayment premium, accrued and unpaid interest, and other amounts then due. The October release says the remainder was paid that month; the cash amount remains undisclosed. Soluna’s $28.7 million figure is the June principal balance.

That distinction matters because the payoff did more than shrink a liability. The August prepayment had not released all collateral: the 10-Q said the pledges and security interests would remain until the facility ended. The October announcement supplies that missing condition—termination and lien release—and connects it to the proposed power transition for Dorothy 3.

Generate’s financing had served several jobs. Soluna said it refinanced Dorothy 1A and Dorothy 2, helped complete Dorothy 2, and supported the April purchase of the 150-megawatt Briscoe Wind Farm. The facility therefore connected operating assets, a wind-generation acquisition and the next campus build-out. Soluna has yet to publish the engineering, contracting or timetable details for moving power.

Next come three useful readings: a reconciled facility balance, the October cash paid, and a dated project update showing power transition at Dorothy 3. Soluna has announced the financial release valve. The meter reading is still to come.

Sources: Soluna’s 26 October announcement; Soluna’s Form 10-Q for the quarter ended 30 June 2026.