{"schema_version":"secwatch.filing_event.v1","accession":"0001144879-24-000063","form_type":"8-K","ticker":"APLD","cik":"0001144879","company_name":"Applied Digital Corp.","filed_at":"2024-04-05T23:59:59+00:00","discovered_at":"2026-05-14T18:03:17.457570+00:00","generated_at":"2026-06-04T01:40:47.613146+00:00","sec_items":["2.01","9.01"],"event_type":"m_and_a","sentiment":"neutral","materiality_score":0.75,"calibrated_materiality_score":0.75,"confidence":"high","headline":"Applied Digital closes $87.3M sale of Garden City data center to Marathon Digital; pro forma shows $24.8M loss on sale","bullets":["Sale of Texas data center facility to Mara Garden City (Marathon subsidiary) completed April 1, 2024 for $87.3M plus $10.0M from security deposit surrender.","Purchase price may be reduced by up to $34M if full additional megawatt energization not conditionally approved within 120 days.","Pro forma balance sheet at Nov 30, 2023 shows cash increase to $36.5M from $9.2M; total assets decline to $417.8M from $480.7M.","Pro forma net loss for FY2023 increased to $68.9M from $45.6M, including $27.7M loss on disposal of assets and debt extinguishment.","Company used proceeds to repay debt secured by facility ($10.7M) and buy out finance lease liabilities not assumed by Marathon."],"urls":{"canonical":"https://secwatch.observer/filing/0001144879-24-000063","json":"https://secwatch.observer/filing/0001144879-24-000063.json","markdown":"https://secwatch.observer/filing/0001144879-24-000063.md","text":"https://secwatch.observer/filing/0001144879-24-000063.txt","edgar_index":"https://www.sec.gov/Archives/edgar/data/1144879/000114487924000063/0001144879-24-000063-index.htm","edgar_primary_document":"https://www.sec.gov/Archives/edgar/data/1144879/000114487924000063/apld-20240401.htm"},"model":{"generated_by":"deepseek-v4-flash:cloud@v2","generated_at":"2026-06-04T01:40:47.613146+00:00"},"review":{"review_status":"machine_generated","human_reviewed":false,"corrected":false,"correction_note":null,"correction_timestamp":null,"superseded_by":null,"related_filings":[]},"source_grounded_claims":[{"claim_id":"a6874411c5f075dece859b3997112c582dbbcec6","claim":"Applied Digital Corp. completed a disposition involving Mara Garden City LLC (subsidiary of Marathon Digital Holdings, Inc.) for $87,328,675 (closed 2024-04-01).","evidence_excerpt":"On April 1, 2024, the Transaction was consummated pursuant to the terms of the Purchase and Sale Agreement (the “Closing”). The purchase price payable by Mara Garden City to Rattlesnake Den I under the terms of the Purchase and Sale Agreement is $87,328,675 (the “Purchase Price”), plus additional consideration of $9,971,235 received by the Company at Closing in connection with the surrender of Marathon’s security deposits under its existing agreements with the Company.","evidence_source":"SEC 8-K Item 2.01/5.01","evidence_url":"https://www.sec.gov/Archives/edgar/data/1144879/000114487924000063/0001144879-24-000063-index.htm","confidence":0.98,"family_label":"M&A Transactions","details":[{"label":"Action","value":"disposition"},{"label":"Counterparty","value":"Mara Garden City LLC (subsidiary of Marathon Digital Holdings, Inc.)"},{"label":"Consideration","value":"$87,328,675"},{"label":"Closing","value":"2024-04-01"}],"fact_type":"ma_transaction"}],"license":"Source filings: public domain (SEC EDGAR). Summaries (headline + bullets): CC-BY-4.0; attribute https://secwatch.observer"}