Major Chapter 11 bankruptcy company acquired in $9 billion deal originally appeared on TheStreet .
New Jersey-based American AI cloud infrastructure startup CoreWeave has announced it is acquiring Bitcoin mining solutions provider Core Scientific on June 7.
CoreWeave's acquisition of an all stock deal which values the latter at roughly $9 billion. The deal is a major strategic move for Nvidia-backed CoreWeave as AI companies are racing to grab power-rich infrastructure to sustain skyrocketing computational needs, as per reports .
Under the deal, Core Scientific shareholders will receive $20.40 per share, a 66% premium to the price of the stock before word of the deal emerged in late June.
Core Scientific stock, however, fell by 15% pre-market after the note and is trading down over 23% at this time at $13.82.
CoreWeave, which was founded in 2017 as an Ethereum miner , reoriented toward AI infrastructure following Ethereum's Merge earlier this year, which slashed cryptocurrency mining rewards to the bone.
The company has since enjoyed explosive growth, reporting in its filing to go public that its revenue grew more than eight times last year, according to its IPO filing.
According to Reuters , the deal will be completed in Q4 of this year and the ultimate transaction value will be determined at the closing. CoreWeave said the purchase would immediately cancel more than $10 billion in future lease obligations across advertised sites over the next 12 years.
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Core Scientific had previously spurned a similar buyout proposal in mid-2024 but the deal did not go through. The two companies later signed long-term contracts, including a 12-year deal for Core Scientific to supply 200 megawatts of infrastructure to support CoreWeave's artificial intelligence services.
Interestingly, back in December 2022
Core Scientific had filed for chapter 11 bankruptcy after the company suffered $434.8 million in net loss for the quarter ending on September 30, 2022. Further, the company saw $7 million shortfall tied to crypto lender Celsius Network.
Major Chapter 11 bankruptcy company acquired in $9 billion deal first appeared on TheStreet on Jul 7, 2025
This story was originally reported by TheStreet on Jul 7, 2025, where it first appeared.
