How will the termination of the South Carolina property sale affect Greenidge's revenue forecasts and cash flow projections?

The termination eliminates the one‑time cash infusion that Greenidge had been counting on to fund its next‑phase expansion and to shore up its balance sheet. In the company’s prior guidance, the South‑Carolina asset was slated to generate roughly $12‑$15 million in net proceeds after closing costs, which would have been recorded as non‑operating cash flow in FY 2025 and used to offset the capital‑intensive ramp‑up of its crypto‑mining rigs and the refurbishment of its natural‑gas‑fueled power plant. With the deal off‑table, Greenidge must now revise its revenue outlook downward—not because its core mining or power‑generation earnings change, but because the expected “bolt‑on” cash contribution to total revenue and EBITDA is gone. Analysts will likely trim FY‑2025 revenue forecasts by the amount of the anticipated sale‑related revenue (≈$12 M) and downgrade cash‑flow projections by the same figure, increasing reliance on operating cash from mining and electricity sales.

From a market‑trading perspective, the negative sentiment (‑15 on the news‑score) is already pressuring the stock, and the loss of the sale proceeds raises the risk of liquidity constraints, especially if crypto prices stay volatile. Investors should watch for an updated 10‑Q or management commentary that quantifies the impact; a guidance cut larger than the $12‑$15 M gap would suggest deeper cash‑flow strain and could trigger a further sell‑off. Short‑term, the trade‑setup favours a bearish stance—consider scaling into the dip on volume‑supported pullbacks or buying put spreads to limit downside risk. Conversely, a rapid rebound in Bitcoin‑related hash‑rate earnings could mitigate the cash shortfall, so a long position only becomes attractive if the company announces alternative financing (e.g., a revolving credit facility) that restores liquidity expectations.