BitNile Holdings secures $ 52.2 million in secured debt financing

LAS VEGAS – (COMMERCIAL THREAD) –BitNile Holdings, Inc. (NYSE American: NILE), a diversified holding company (“BitNile“or the”Society“) announced today that it has sold $ 58.4 million in promissory notes with initial issue discount of 10% of the face amount (the”Remarks“) to sophisticated investors for $ 52.2 million (the”Funding“). The notes are due and payable on March 31, 2022, bear interest at the rate of 8% per annum and are secured by the majority of the assets of the Company, as well as by a pledge of interests in the subsidiaries of the Company.

Investors who participated in the Financing received warrants to purchase approximately 12.4 million common shares of the Company (“Ordinary actions”), Exercisable for five years at $ 2.50 per cashless share, subject to adjustment. In addition, investors received another type of warrant that entitles them to purchase approximately 1.7 million common shares, exercisable for five years at $ 2.50 per share on a cashless basis, under adjustment reserve, with certain Black-Scholes valuation conditions, including a Floor Price of $ 1.25 on the closing bid price of the Company’s common shares.

The Ticket Redemption Terms provide that while the Notes are in circulation, to the extent that the Company raises additional funds from future fundraising transactions or from the sale of any Bitcoin, the Company will make payment on the Notes equal. at 65% of the net amount the proceeds of these operations.

The Note Purchase Agreement provides for registration rights associated with the warrants issued in conjunction with the Notes. The Company has agreed to file a resale registration statement on Form S-3 recording all of the common shares underlying the warrants as well as all other common shares issuable to certain of the investors underlying the warrants. previously issued subscription.

The Notes are guaranteed by the Founder and Executive Chairman of the Company, Milton “Todd” Ault, III and by Ault & Company, Inc., a related party.

Proceeds from the ticket offering will be used for the purchase of commercial real estate, the purchase of Bitcoin mining equipment and for general working capital purposes.

For more information about BitNile and its affiliates, BitNile recommends that shareholders, investors and any other interested party read BitNile’s public documents and press releases available in the Investor Relations section at www.BitNile.com or available on www.sec.gov.

About BitNile Holdings, Inc.

BitNile Holdings, Inc. is a diversified holding company that continues to grow by acquiring undervalued businesses and disruptive technologies with a global impact. Through its 100% and majority owned subsidiaries and strategic investments, BitNile owns and operates a data center in which it operates Bitcoin and provides critical products that support a wide range of industries including defense / aerospace. , industry, automotive, telecommunications, medical / biopharma, and textiles. In addition, BitNile provides loans to certain entrepreneurial businesses through an approved loan affiliate. The head office of BitNile Holdings is located at 11411 Southern Highlands Parkway, Suite 240, Las Vegas, NV 89141; www.BitNile.com.

Forward-looking statements

This press release contains “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. These forward-looking statements generally include statements that are predictive in nature and depend on or refer to future events or conditions, and include words such as “belief”, “plans”, “anticipates”, “plans”, “estimates” , “” Expects “,” intends “,” strategy “,” future “,” opportunity “,” may “,” will “,” should “,” could “,” potential “or similar expressions. Statements that are not historical facts are forward-looking statements. Forward-looking statements are based on current beliefs and assumptions which are subject to risks and uncertainties. Forward-looking statements speak only as of the date on which they are made, and the Company does not undertake to update them publicly in light of new information or future events. Actual results could differ materially from those contained in any forward-looking statement due to various factors. Further information, including potential risk factors, that could affect the business and financial results of the Company is included in the documents filed by the Company with the United States Securities and Exchange Commission, including, but without limitation, the Company’s 10-K, 10-Q and 8 forms. -K. All files are available on www.sec.gov and on the Company’s website at www.BitNile.com.