Mentioned:
CoreWeave wants to aggressively scale up their data centre infrastructure. Which is exactly why they’re acquiring Core Scientific.
What’s happening:
- CoreWeave (NASDAQ: CRWV) has entered into a definitive agreement to acquire Core Scientific (NASDAQ: CORZ) in an all stock deal
By the numbers:
- Core Scientific shareholders will receive 0.1235 shares of CoreWeave Class A common stock for every Core Scientific share they hold
- The acquisition of Core Scientific is valued at roughly $9B USD
- CoreWeave will acquire 1.3 gigawatts of power capacity from Core Scientific’s existing data centre operations
Why it matters:
- This is the first acquisition that CoreWeave has done since becoming a publicly traded company
Going deeper:
- Core Scientific already had an existing partnership with CoreWeave under which Core Scientific was providing CoreWeave with 200 megawatts of power capacity for high performance computing infrastructure as well as co-developing new data centre projects together
The intrigue:
- CoreWeave previously tried to buy out Core Scientific for $5.75 USD per share in cash, however those acquisition attempts were ultimately rejected
