Applied Digital Corp. (APLD): debt financing — Applied Digital (APLD) subsidiary enters $15M loan with Vantage Bank Texas; shareholders approve name change

On November 7, 2022, APLD – Rattlesnake Den I, LLC (the “Borrower”), a wholly-owned subsidiary of the Company, entered into the Loan Agreement with Vantage Bank Texas (“Lender”) and the Company, as guarantor, which agreement provides for a term loan in the principal amount of $15,000,000 (the “Loan”). The Loan will be advanced in 16 installments for working capital needs for the Borrower’s datacenter in Garden City, Texas (the “Garden City Facility”), with each installment not exceeding $937,500 for the costs and expenses of a building at the Garden City Facility. The unpaid principal amount of the Loan will bear interest at a fixed rate of 6.15% per annum, and the Borrower may prepay the Loan, in whole or in part, without the payment of any fee or penalty. The Loan Agreement matures April 26, 2028.

As further described in Item 5.07 below, on November 10, 2022, the Company held its 2022 Annual Meeting of Stockholders (the “Annual Meeting”), at which stockholders approved to amend the Company’s Second Amended and Restated Articles of Incorporation to change the Company name from Applied Blockchain, Inc. to Applied Digital Corporation.

On November 7, 2022, APLD – Rattlesnake Den I, LLC (the “Borrower”), a wholly-owned subsidiary of Applied Digital Corporation, formerly known as Applied Blockchain, Inc. (the “Company”), entered into a Loan Agreement with Vantage Bank Texas (the “Lender”) and the Company, as guarantor (the “Loan Agreement”).

Proposal 3 The stockholders approved, on an advisory basis, the compensation of the Company's named executive officers. For Against Abstain Broker Non-Votes 48,396,674 656,735 386,301 11,742,889

Proposal 5 The stockholders approved the Amendment of the Company's Articles of Incorporation to change the Company name to Applied Digital Corporation. For Against Abstain Broker Non-Votes 49,418,615 14,089 7,006 11,742,889

Proposal 4 The stockholders approved, on an advisory basis, the frequency of the advisory vote on the compensation of the Company's named executive officers of one year. One Year Two Years Three Years Abstain Broker Non-Votes 48,729,578 149,273 274,499 286,360 11,742,889

Proposal 2 The stockholders ratified the appointment of Marcum LLP as the Company's independent registered public accounting firm for the fiscal year ending May 31, 2023. For Against Abstain Broker Non-Votes 60,829,202 39,421 313,976 0

Proposal 1 The stockholders voted in favor of the election of the following director nominees as directors for a term of office expiring at the Company's 2023 Annual Meeting of Stockholders and, in each case, until his or her successor is duly elected and qualified. Nominee For Withheld Broker Non-Votes Wes Cummins 48,950,685 489,025 11,742,889 Douglas Miller 49,417,539 22,171 11,742,889 Kelli McDonald 49,236,406 203,304 11,742,889 Virginia Moore 49,236,597 203,113 11,742,889 Chuck Hastings 49,113,705 326,005 11,742,889 Richard Nottenburg 48,995,680 444,030 11,742,889