Spring Lane Capital Announces $35M Project Equity

BOSTON, May 12, 2022 (GLOBE NEWSWIRE) – Spring Lane Capital, a private equity firm focused on providing hybrid project capital for sustainability solutions in the energy, food, water, waste and transportation industries, today announced a commitment of $ 35 million project capital. Soluna Computing Inc., a developer of green data centers for cryptocurrency mining and other computer-intensive mining. Spring Lane’s commitment will help develop at least three projects behind the counter (BTM) designed to convert wasted renewable energy into clean computing services, such as bitcoin mining and artificial intelligence. Soluna’s total funding for data centers located in conjunction with renewable energy assets has now reached $ 100 million.

“Soluna is the first company we’ve seen using bitcoin operations to directly address the global climate challenge, and we’re excited to partner with John and his team to create” additionality “through wasted renewable energy consumption or” spilled power. ” “,” Said Rob Day, a partner and co-founder of Spring Lane Capital. In an industry plagued by greenwashing, Soluna offers a compelling solution for investment banks and technology giants that are increasingly betting on cryptocurrencies but are also concerned about their climate effects. No other developer offers a combination of low-cost mining, an inherent ESG benefit, and an ability to transition to other forms of green computing over time. “

“We are thrilled that a pioneering sustainability project financing company such as Spring Lane Capital is supporting our mission to make renewable energy the world’s primary energy source,” said John Belizaire, CEO of Soluna Computing, Inc.

Through its solutions, Soluna is facilitating greater penetration of renewable energy into the grid and a true “greening” of cryptocurrencies and data center operations. The developer consumes green energy that would otherwise be “dumped” and never generated by the limitations of the power grid. By providing reliable local demand for energy generated by wind and solar farms, Soluna’s variable data center solution can significantly increase the end result of wind and solar farm developers. This prevents the wind and solar park from closing prematurely, while encouraging those same developers to incorporate additional renewable energy projects into the grid.

Cryptocurrencies are a rapidly growing climate and environmental problem due to the energy consumption required. While many in the cryptocurrency mining industry recognize this challenge, to date most of what has been touted as “green bitcoin” have not withstood scrutiny. In addition to cryptocurrency mining in particular, data centers are also a rapidly growing consumer of electricity. Traditional data centers are connected to the network 24/7/365 with a focus on resilience, and therefore often rely on a carbon-intensive network. By focusing on frequently restricted renewable generation and with its proprietary variable data center design, Soluna is able to consume low-cost renewable energy for more than most of its energy, while providing struggling renewable generators with a revenue stream. additional, creating true “additionality”.

“So far, the few green cryptographic solutions promoted, in my opinion, have been to reach ‘net zero’ at best. Soluna has pioneered a way to feed cryptocurrencies using stranded energy assets from wind and solar farms. We knew they were different. from our first meeting, because the Soluna team focused first on solving a major problem for renewable energy developers, and this led us to this variable data center solution.Because they are beached assets, it is profitable. from an ecological perspective, it solves a huge problem for the wind and solar energy sector while offering a fully additive green energy solution for cryptocurrencies, instead of so many other efforts that simply buy green energy or, worse, are using only the green rhetoric “.

“Soluna’s approach will allow troubled renewable projects to remain profitable and therefore continue to produce renewable energy; it will stimulate further expansion of renewable capacity as developers now have additional sources of revenue to fund projects; and improve reliability. “As a result, the main environmental benefit for the Soluna model will be greater penetration of renewable energy into the grid, in ways that would not happen without its variable demand solution,” Day added.

Today’s news follows Spring Lane Capital’s announcement in April of a second closure of approximately $ 50 million for its second private fund, raising the fund’s total AUM to $ 200 million and Spring Lane Capital’s total AUM at $ 350 million. The fund finances entrepreneurs and project developers in the sectors of sustainable infrastructure, including food and agriculture, energy, water, waste and transportation. Spring Lane Capital announced a first $ 151 million closure of the second fund in November 2021.

About Spring Lane Capital:
Spring Lane Capital is a privately held company based in Boston, MA and Montreal, QC focused on providing hybrid project capital for sustainability solutions in the energy, food, water, waste and transportation industries. The firm’s structured finance model seeks to take advantage of some of the fastest growing segments of these markets, which cannot be accessed by the more traditional forms of project capital due to their scale and limitations of existing investment models. For more information, visit springlanecapital.com.

Media contact:
Cindy Stoller
Confluence Partners

This content was published through the press release distribution service on Newswire.com.

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