Applied Digital (CHRN) details 96.1% ChronoScale stake and $100M credit line

Rhea-AI Filing Summary

Applied Digital Corporation reports that it beneficially owns 139,528,227 shares of ChronoScale Corp, representing 96.1% of the company’s outstanding common stock as of June 26, 2026. This stake includes 1,311,407 shares held directly and 138,216,820 shares held through wholly owned subsidiaries, confirming Applied Digital’s effective control of ChronoScale.

The amendment also describes a new unsecured Demand Grid Promissory Note under which Applied Digital has made a line of credit of up to $100,000,000 available to ChronoScale for working capital and general corporate purposes. No amounts have been drawn so far, the note is repayable on demand, bears interest at the short-term Applicable Federal Rate, may be prepaid at any time without penalty, and is not convertible into ChronoScale common stock.

Insights

Equity ownership and governance analyst

Applied Digital confirms control-level stake and adds a sizable, non-convertible credit line to ChronoScale.

Applied Digital now reports beneficial ownership of 139,528,227 ChronoScale shares, or 96.1% of outstanding common stock as of June 26, 2026. This combines direct holdings with shares owned via wholly owned subsidiaries, reinforcing its dominant governance position.

The new unsecured Demand Grid Promissory Note provides a line of credit up to $100,000,000 for ChronoScale’s working capital and general corporate purposes. It is demand-based, interest-bearing at the short-term Applicable Federal Rate, and prepayable without penalty, but explicitly not convertible into equity, so it does not add immediate dilution.

Future impact will hinge on how much ChronoScale actually borrows under this facility and how its financial position and strategy evolve in subsequent reporting periods, given Applied Digital’s concentrated ownership and creditor role.

Key Figures

Beneficial ownership: 139,528,227 shares Ownership percentage: 96.1% Direct holdings: 1,311,407 shares +3 more

6 metrics

Beneficial ownership 139,528,227 shares Applied Digital beneficially owned ChronoScale shares as of June 26, 2026

Ownership percentage 96.1% Percent of ChronoScale common stock beneficially owned by Applied Digital

Direct holdings 1,311,407 shares ChronoScale shares held directly by Applied Digital

Indirect holdings 138,216,820 shares ChronoScale shares held through wholly owned subsidiaries

Shares outstanding 145,214,825 shares ChronoScale common stock outstanding as of June 26, 2026

Credit line maximum principal $100,000,000 Maximum principal under unsecured Demand Grid Promissory Note

Key Terms

Demand Grid Promissory Note, Applicable Federal Rate, beneficially own, line of credit, +1 more

5 terms

Demand Grid Promissory Note financial

"the Issuer entered into an unsecured Demand Grid Promissory Note (the "Note") with the Reporting Person"

Applicable Federal Rate financial

"Interest is payable on the unpaid principal amount of the Note at a rate equal to the short-term Applicable Federal Rate"

beneficially own financial

"the Reporting Person may be deemed to beneficially own 96.1% of the outstanding shares of the Issuer"

Beneficially own means having the economic rights and risks of a security—such as the right to receive dividends, sell the shares, or profit from price changes—whether or not your name appears on the official share register. Think of it like renting a car: you use it and reap the benefits even if the title lists someone else. Investors care because beneficial ownership determines who truly controls value, must be disclosed under securities rules, and can signal potential influence or trading activity that affects a stock’s price.

line of credit financial

"the Lender made a line of credit available to the Issuer in the maximum principal amount of $100,000,000"

A line of credit is a flexible borrowing arrangement that lets a company draw money up to a preset limit, repay it, and borrow again as needed—similar to a business credit card or an emergency tap on a savings account. It matters to investors because it shows how a firm manages short-term cash needs and growth funding without taking a single large loan; access, cost, and attached conditions can affect liquidity, interest expenses and financial risk.

Schedule 13D regulatory

"If the filing person has previously filed a statement on Schedule 13G to report the acquisition"

A Schedule 13D is a legal document that investors file with regulators when they buy a large enough stake in a company to potentially influence its management or decisions. It provides details about the investor’s intention, ownership stake, and plans, helping other investors understand who is gaining control and what their motives might be.

FAQ

How much of ChronoScale Corp (CHRN) does Applied Digital own after this Schedule 13D/A?

Applied Digital reports beneficial ownership of 96.1% of ChronoScale’s common stock. This equals 139,528,227 shares as of June 26, 2026, combining 1,311,407 shares held directly and 138,216,820 shares held through its wholly owned subsidiaries.

What financing arrangement between Applied Digital and ChronoScale (CHRN) is described in this Schedule 13D/A amendment?

Applied Digital has provided ChronoScale with an unsecured Demand Grid Promissory Note. The note offers a line of credit up to $100,000,000 for working capital and general corporate purposes, with no advances made so far under the facility.

Is the $100,000,000 note between Applied Digital and ChronoScale (CHRN) convertible into equity?

The Demand Grid Promissory Note is not convertible into ChronoScale common stock. It remains a debt instrument, bearing interest at the short-term Applicable Federal Rate and allowing prepayment at any time without penalty or premium to the lender.

What is ChronoScale Corp’s (CHRN) total common stock outstanding referenced in the filing?

The filing states ChronoScale had 145,214,825 common shares outstanding. This outstanding share count is reported as of June 26, 2026, based on information provided by ChronoScale directly to Applied Digital, and is used to calculate the 96.1% ownership percentage.

How is Applied Digital’s 96.1% stake in ChronoScale (CHRN) structured between direct and indirect holdings?

The stake includes both direct and indirect holdings. Applied Digital holds 1,311,407 ChronoScale shares directly and 138,216,820 shares indirectly through its wholly owned subsidiaries, together totaling 139,528,227 shares beneficially owned.

What are the key terms of the Demand Grid Promissory Note for ChronoScale (CHRN)?

The note is unsecured, demand-based, and interest-bearing at the short-term Applicable Federal Rate. ChronoScale may use borrowings for working capital and general corporate purposes, can prepay without penalty, and the principal adjusts as advances and repayments occur.

AI-generated analysis. How Rhea-AI works. Not financial advice.

See more from StockTitan in Google Search and AI answers. Adds StockTitan as a preferred source · opens Google

Add on Google Not now

Available on EDGAR 06/26/2026 - 09:30 PM Accepted by SEC EDGAR 06/26/2026 - 09:30 PM Learn about SEC filing dates

SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549

SCHEDULE 13D

Under the Securities Exchange Act of 1934

(Amendment No. 1)

ChronoScale Corp

(Name of Issuer)

Common Stock, $0.001 par value per share

(Title of Class of Securities)

170924104

(CUSIP Number)

Wesley Cummins
2811 Turtle Creek Blvd.,, Suite 2100,
Dallas, TX, 75219
(214) 556-2465

Steven E. Siesser, Esq.
Lowenstein Sandler LLP,, 1251 Avenue of the Americas
New York, NY, 10020
(212) 204-8688

(Name, Address and Telephone Number of Person Authorized to Receive Notices and Communications)

06/26/2026

(Date of Event Which Requires Filing of This Statement)

If the filing person has previously filed a statement on Schedule 13G to report the acquisition that is the subject of this Schedule 13D, and is filing this schedule because of §§ 240.13d-1(e), 240.13d-1(f) or 240.13d-1(g), check the following box.

The information required on the remainder of this cover page shall not be deemed to be "filed" for the purpose of Section 18 of the Securities Exchange Act of 1934 ("Act") or otherwise subject to the liabilities of that section of the Act but shall be subject to all other provisions of the Act (however, see the Notes).

schemaVersion:

SCHEDULE 13D

CUSIP Number(s): 170924104

1

Name of reporting person

Applied Digital Corporation

2

Check the appropriate box if a member of a Group (See Instructions)

(a)
(b)

3

SEC use only

4

Source of funds (See Instructions)

AF, WC

5

Check if disclosure of legal proceedings is required pursuant to Items 2(d) or 2(e)

6

Citizenship or place of organization

NEVADA

Number of Shares Beneficially Owned by Each Reporting Person With:

7	Sole Voting Power 139,528,227.00
8	Shared Voting Power 0.00
9	Sole Dispositive Power 139,528,227.00
10	Shared Dispositive Power 0.00

11

Aggregate amount beneficially owned by each reporting person

139,528,227.00

12

Check if the aggregate amount in Row (11) excludes certain shares (See Instructions)

13

Percent of class represented by amount in Row (11)

96.1 %

14

Type of Reporting Person (See Instructions)

CO

Comment for Type of Reporting Person:

See Item 5 for additional information.

SCHEDULE 13D

Item 1.	Security and Issuer
(a)	Title of Class of Securities: Common Stock, $0.001 par value per share
(b)	Name of Issuer: ChronoScale Corp
(c)	Address of Issuer's Principal Executive Offices: 3811 Turtle Creek Blvd., Suite 2100, Dallas, TEXAS , 75219.
Item 1 Comment: This Amendment No. 1 to Schedule 13D (this "Amendment"), filed by Applied Digital Corporation, a Delaware corporation (the "Reporting Person"), amends and supplements the Schedule 13D filed by the Reporting Person with the SEC on May 12, 2026 (the "Schedule 13D"). Capitalized terms used and not otherwise defined herein shall have the meanings ascribed to such terms in the Schedule 13D.
Item 4.	Purpose of Transaction
	Item 4 of the Schedule 13D is hereby supplemented as follows: On June 26, 2026, the Issuer entered into an unsecured Demand Grid Promissory Note (the "Note") with the Reporting Person, pursuant to which the Lender made a line of credit available to the Issuer in the maximum principal amount of $100,000,000 minus the dollar value of any credit support provided by the Reporting Person or its affiliates to the Issuer and its affiliates. The Issuer plans to use the proceeds of any borrowings under the Note for working capital and general corporate purposes. To date, there have been no advances under the Note. The principal amount of the Note will be adjusted from time to time to reflect the amounts of any advances made to the Issuer by the Reporting Person and/or any payments made to the Reporting Person by the Issuer prior to the Reporting Person's demand for payment in full of all amounts outstanding. Interest is payable on the unpaid principal amount of the Note at a rate equal to the short-term Applicable Federal Rate (as defined in Section 1274(d) of the Internal Revenue Code of 1986, as amended), compounded semiannually. The Issuer may prepay all or any portion of the Note, together with any accrued but unpaid interest thereon, at any time without penalty or premium. The Note is not convertible into shares of Common Stock. Although the Reporting Person and the Covered Persons are considering, or may consider in the future, plans or proposals with respect to their investment in the Issuer that could relate or would result in any of the matters set forth in subparagraphs (a) - (j) of Item 4 of Schedule 13D, except as set forth in this Amendment and the Schedule 13D, neither the Reporting Person nor the Covered Persons have any present plan or proposal which would relate to or result in any such matters. The Reporting Person and Covered Persons have had discussions with management of the Issuer, other members of the Board, other representatives of the Issuer and other investors regarding the Issuer, including but not limited to its operations, strategy, management, capital structure, their investment in the Issuer and strategic alternatives that may be available to the Issuer. Such discussions may concern ideas, plans or proposals that, if effected, may result in one or more of the events described in subparagraphs (a) - (j) of Item 4 of Schedule 13D. The Reporting Person and the Covered Persons intend to review their investment in the Issuer on a continuing basis. Depending on various factors, including the Issuer's financial position and strategic direction, price levels of the securities of the Issuer, other investment opportunities available to the Reporting Person and the Covered Persons, conditions in the securities market and general economic and industry conditions, the Reporting Person and the Covered Persons may in the future take such actions with respect to their investment in the Issuer as they deem appropriate, including, without limitation, acquiring additional securities of the Issuer and/or retaining, converting and/or selling all or a portion of the securities of the Issuer held by the Reporting Person or the Covered Persons, if any, in the open market or in privately negotiated transactions, and/or may distribute securities of the Issuer to be acquired or held by the Reporting Person or the Covered Persons to shareholders of the Reporting Person, other entities engaging in communications with other directors and officers of the Issuer, other stockholders of the Issuer or other third parties or taking steps to implement a course of action, including, without limitation, engaging advisors, including legal, financial, regulatory, technical and/or industry advisors, to assist in any review. Such discussions and other actions may relate to various alternative courses of action, including, without limitation, those related to an extraordinary corporate transaction (including, but not limited to a merger, reorganization or liquidation) involving the Issuer or any of its subsidiaries; business combinations involving the Issuer or its subsidiaries; a sale or transfer of a material amount of assets of the Issuer or any of its subsidiaries; material asset purchases; the formation of joint ventures with the Issuer or its subsidiaries or the entry into other material projects; changes in the present business, operations, strategy, future plans or prospects of the Issuer, financial or governance matters; changes to the board of directors (including composition of the board of directors) or management of the Issuer; acting as a participant in debt financings of the Issuer or its subsidiaries, changes to the capitalization, ownership structure, dividend policy, business or corporate structure or governance documents of the Issuer; de-listing or de-registration of the Issuer's securities; any of the matters set forth in subparagraphs (a) - (j) of Item 4 of Schedule 13D or any action similar to those enumerated above.
Item 5.	Interest in Securities of the Issuer
(a)	As of June 26, 2026, the Reporting Person may be deemed to beneficially own 96.1% of the outstanding shares of the Issuer, or 139,528,227 shares, consisting of 1,311,407 shares held directly and 138,216,820 shares held indirectly through its wholly owned subsidiaries. As of June 26,2026, the Issuer had 145,214,825 shares of Common Stock outstanding, based on information reported by the Issuer directly to the Reporting Person.
(b)	The information contained on the cover page to this Schedule 13D is incorporated by reference into this Item 5.
(c)	Except as set forth in the Schedule 13D, no transactions in the Common Stock have been effected by the Reporting Person or the Covered Persons during the past sixty days prior to June 26, 2026.
(d)	None.
(e)	Not applicable.

SIGNATURE

After reasonable inquiry and to the best of my knowledge and belief, I certify that the information set forth in this statement is true, complete and correct.

Applied Digital Corporation

Signature:	/s/ Saidal Mohmand
Name/Title:	Saidal Mohmand / Chief Financial Officer
Date:	06/26/2026