Sphere 3D Corp. Announces Sale of Iowa Site and Mining Fleet

What Happened
Sphere 3D Corp. announced on September 1, 2026 that it entered into a definitive agreement to sell its Iowa site to Simple mining, LLC for a $1.5 million purchase price and, separately, a binding term sheet to sell its entire owned legacy mining fleet to RepairBit, LLC for about $3.1 million. Under the Iowa sale the company received $300,000 cash and took an interest‑free promissory note for $1.2 million payable in equal monthly installments from December 1, 2026 through November 1, 2027; Sphere 3D also assigned its rights to the site’s mining containers, transformers and related equipment and terminated its sublease. The mining‑machine sale covers approximately 5,500 proprietary machines to be sold and delivered over a 90‑day period beginning September 1, 2026; Sphere 3D retains ownership of the miners until payment is received.

Key Details

• Iowa site sale to Simple mining, LLC: $1.5 million purchase price; $300,000 received in cash; $1.2 million interest‑free promissory note payable monthly Dec 1, 2026–Nov 1, 2027.
• Company expects return of utility prepayment ($300,000) and security deposit ($225,000) related to the Iowa site.
• Mining fleet sale to RepairBit, LLC: ~5,500 machines for aggregate proceeds of ~ $3.1 million; deliveries and payments scheduled over a 90‑day period beginning Sept 1, 2026; Sphere 3D retains title until payment.
• Full agreements will be filed as exhibits to the company’s next Form 10‑Q.

Why It Matters
These transactions monetize Sphere 3D’s physical mining assets and could provide up to about $4.6 million in gross proceeds (Iowa site + mining fleet), but a meaningful portion is deferred (a $1.2M note and payments tied to machine deliveries). For investors, this reduces the company’s owned mining asset base (the entire legacy owned fleet) and provides a mix of immediate cash and receivables that will affect near‑term liquidity. The filings are material under Item 1.01 (entry into material definitive agreements) and will be disclosed in more detail in the next quarterly report.