ETHZilla Corp 8-K

What Happened
ETHZilla Corporation reported on Form 8-K (filed Jan 23, 2026) that its newly formed wholly owned subsidiary, ETHZilla Aerospace LLC, completed the acquisition of two CFM56-7B24 aircraft engines on January 17, 2026. The Engines — including parts, engine records and stands — were bought from Avean Engine Solutions, LLC under an Engine Sale and Purchase Agreement dated January 12, 2026, for an aggregate purchase price of $12.2 million (cash, less prior deposits and subject to adjustments tied to an economic closing date of Sept 30, 2025).

Key Details

• Purchase date: Engines acquired Jan 17, 2026; Purchase Agreement dated Jan 12, 2026.
• Purchase price: $12.2 million aggregate, payable in cash (subject to prior deposits and adjustments).
• Leases & assignment: The Engines are subject to Aircraft Engine Lease Agreements with a major airline as lessee; those leases were assigned to ETHZilla Aerospace LLC as part of the acquisition.
• Servicing & option rights: ETHZilla entered a Servicing Agreement with Aero Engine Solutions, Inc. to manage the Engines for a monthly fee; both parties have post-lease option rights to buy/sell each Engine for $3.0 million per engine (subject to engine condition and agreement terms).

Why It Matters
This acquisition adds tangible aviation assets to ETHZilla’s balance sheet and brings lease revenue potential tied to the assigned airline agreements. The $12.2M cash-based purchase is a concrete capital deployment and the $3.0M post-lease option prices for each engine establish defined potential residual values. Outsourcing engine management to a servicer means ETHZilla relies on a third party for day-to-day operations and maintenance under a fee arrangement. Retail investors should note the size of the cash commitment, the revenue link to existing leases, and the structured buy/sell options that affect potential future proceeds.