BitNile Holdings, Inc., a diversified holding company, announced that it will pay off its senior secured notes this week. The 10% Original Issuance Discount Promissory Notes were sold in December 2021 and are due and payable on March 31, 2022. The repayment of the Notes will release the security interest in most of the assets of the Company, as well as the pledges of equity interests in the Company’s subsidiaries.

Further, the repayment of the Notes will eliminate certain restrictive covenants, allowing the Company to move forward with the announced plans related to its subsidiary TurnOnGreen, Inc., an electronic vehicle charging and power solutions company (“TurnOnGreen”). The Company previously announced plans that will result in TurnOnGreen becoming a publicly traded company and its intent to distribute securities of TurnOnGreen to BitNile stockholders including approximately 140 million common shares of TurnOnGreen and an equal number of warrants to purchase such shares, subject to regulatory approval.

See related article: BitNile Holdings’ Subsidiary, TurnOnGreen, Reports Significant Milestones Reached in Tim Hortons EV Charger Installations

Kenneth S. Cragun, the Company’s Chief Financial Officer, said, “We are pleased to be in a position to fully pay our senior secured debt this week. Other than the loans on our portfolio of hotels, which are non-recourse to the parent company, the Company will be virtually debt free.”

Milton “Todd” Ault, III, the Company’s Executive Chairman, said, “The elimination of this secured debt is significant for BitNile and our stockholders as we will be able to pursue the issuance of special dividends and execute on strategic opportunities to spin out key holdings in the future.”

Source: BitNile Holdings, Inc.