Sphere 3D to sell Iowa site $1.5M, miners $3.1M
Sphere 3D Corp. moves to monetize its Iowa site and entire legacy mining fleet through agreements totaling about $4.6 million in consideration and returns of deposits.
Rhea-AI Filing Summary
Sphere 3D Corp. (ANY) entered into two significant asset sale arrangements on September 1, 2026. The company agreed to sell its Iowa site to Simple mining, LLC for a $1.5 million purchase price, consisting of $300,000 in cash and a $1.2 million interest-free promissory note payable in equal monthly installments from December 1, 2026 through November 1, 2027. Sphere 3D is also entitled to the return of a utility prepayment of approximately $300,000 and a security deposit of approximately $225,000. In a separate binding term sheet with RepairBit, LLC, Sphere 3D agreed to sell approximately 5,500 proprietary mining machines, representing all of its existing legacy owned fleet, for aggregate proceeds of approximately $3.1 million, with deliveries over a 90-day period beginning September 1, 2026 while retaining ownership of miners until corresponding payments are received.
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8-K Event Classification
Item 1.01 — Entry into a Material Definitive Agreement
1 item
Item 1.01
Entry into a Material Definitive Agreement
Business
The company signed a significant contract such as a merger agreement, credit facility, or major partnership.
Key Figures
Iowa site purchase price: $1.5 million
Cash received at closing: $300,000
Promissory note amount: $1.2 million
+5 more
8 metrics
Iowa site purchase price
$1.5 million
Consideration for sale of the Iowa site to Simple mining, LLC
Cash received at closing
$300,000
Upfront cash portion of Iowa site purchase price
Promissory note amount
$1.2 million
Interest-free note for balance of Iowa site purchase price, payable over 12 months
Utility prepayment return
$300,000
Approximate utility prepayment to be returned to Sphere 3D
Security deposit return
$225,000
Approximate security deposit to be returned to Sphere 3D
Mining machines sale proceeds
$3.1 million
Aggregate proceeds for sale of approximately 5,500 proprietary mining machines
Mining machines sold
5,500 machines
Approximate count of proprietary mining machines in legacy fleet being sold
Delivery period
90 days
Duration starting September 1, 2026 for mining machine sales and deliveries
Key Terms
Material Definitive Agreement, promissory note, binding term sheet, security deposit
4 terms
Material Definitive Agreement regulatory
"Item 1.01 Entry into a Material Definitive Agreement."
A material definitive agreement is a legally binding contract that creates major, long‑term obligations or rights for a company, such as loans, asset sales, mergers, or supplier deals. Think of it like a mortgage or lease for a business: it can change future cash flow, risk and control, so investors watch these agreements closely because they can materially affect a company’s value, financial health and stock price.
promissory note financial
"entered into an interest free promissory note with the Buyer for $1.2 million"
A promissory note is a written IOU in which one party promises to pay a specific sum, often with interest, to another party by a set date or on demand. Investors care because it functions like a loan: it creates a legal claim on future cash flows, carries credit and timing risk, and can affect valuation or liquidity—think of it as a formal, tradable promise to be repaid that can be assessed like any other debt investment.
binding term sheet financial
"entered into a binding term sheet (the “Mining Machine Agreement”)"
A binding term sheet is a short, signed document that sets out the main deal points—price, ownership, key rights and responsibilities—and includes specific promises that are legally enforceable. Think of it as a shopping list with certain items you and the seller have already agreed must happen, not just a wish list. Investors watch for binding term sheets because they signal real commitment, change the odds of a deal closing, and create legal obligations that can affect valuation, financing and risk.
security deposit financial
"its security deposit of approximately $225,000."
FAQ
What asset sale did Sphere 3D Corp. (ANY) announce for its Iowa site?
Sphere 3D agreed to sell its Iowa site to Simple mining, LLC for a $1.5 million purchase price, made up of $300,000 in cash and a $1.2 million interest-free promissory note payable over 12 months starting December 1, 2026.
How is the $1.2 million note from the Iowa site sale to be repaid?
The $1.2 million interest-free promissory note from Simple mining, LLC is payable in equal monthly installments over a 12‑month period, commencing on December 1, 2026 and continuing through November 1, 2027.
What mining machines is Sphere 3D Corp. (ANY) selling under the Mining Machine Agreement?
Sphere 3D entered a binding term sheet with RepairBit, LLC to sell approximately 5,500 proprietary mining machines, which constitute all of the company’s existing legacy fleet of owned mining machines, for aggregate proceeds of approximately $3.1 million.
Over what period will Sphere 3D’s mining machines be delivered and sold?
The mining machines are to be sold and delivered over a 90‑day period that began on September 1, 2026. Sphere 3D retains ownership of the miners until payments for those miners are received.
Does Sphere 3D retain any rights at the Iowa site after the sale?
Sphere 3D terminated its sublease agreement for the Iowa site and assigned all its rights to mining containers, transformers, and related equipment at the site to the buyer, while remaining entitled to the return of its utility prepayment and security deposit.
AI-generated analysis. How Rhea-AI works. Not financial advice.
