Core Scientific Prices Upsized $400 Million Convertible Senior Notes Offering
Summary
AUSTIN, Texas--(BUSINESS WIRE)-- Core Scientific, Inc. (NASDAQ: CORZ) (Core Scientific or the Company), a leader in digital infrastructure for bitcoin mining and high-performance computing, today announced the pricing of its offering of $400 million aggregate principal amount of 3.00% convertible senior notes due 2029 (the notes) in a private offering to qualified institutional buyers pursuant to Rule 144A under the Securities Act of 1933, as amended (the Securities Act). From and after June 1, 2029, noteholders may convert their notes at any time at their election until the close of business on the scheduled trading day immediately before the maturity date. Core Scientific intends to use approximately $61.2 million of the net proceeds from the offering to repay in full the outstanding loans under its credit and guaranty agreement entered into on January 23, 2024 and approximately $150.0 million of the net proceeds to redeem all of its outstanding senior secured notes due 2028, in each case excluding accrued but unpaid interest. We derive the majority of our revenue from earning bitcoin for our own account (self-mining).This press release includes forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Among those risks and uncertainties are market conditions, including market interest rates, the trading price and volatility of Core Scientifics common stock and risks relating to Core Scientifics business, including those described in the Companys Annual Report on Form 10-K and Quarterly Reports on Form 10-Q filed with the Securities and Exchange Commission (the SEC).