CoreWeave Completes $9 Billion Acquisition of Core Scientific
In a landmark deal, CoreWeave has finalized its acquisition of the Bitcoin mining giant Core Scientific for a staggering $9 billion. This strategic move is aimed at bolstering CoreWeave’s ambitions in artificial intelligence (AI) and high-performance computing infrastructure, marking one of the largest takeovers in the AI sector this year.
Details of the Acquisition
CoreWeave’s journey to acquire Core Scientific began with a $1 billion proposal in early 2024, which was dismissed as undervalued. Over the subsequent months, Core Scientific’s market capitalization skyrocketed, driven by strong operational performance and renewed investor interest in crypto infrastructure.
This $9 billion deal not only solidifies CoreWeave’s position in cryptocurrency hosting but also equips it with critical assets pivotal for its broader AI initiatives. According to the deal’s specifications, Core Scientific shareholders will receive 0.1235 shares of newly issued CoreWeave Class A common stock for each CORZ share they own. This valuation sets Core Scientific at approximately $20.40 per share, reflecting a 66% premium based on its closing price of $12.30 on June 25.
The merger is expected to close in the fourth quarter of 2025, pending shareholder and regulatory approvals. Following the acquisition, Core Scientific shareholders will control less than 10% of the entity formed from this merger, illustrating CoreWeave’s confidence in its stock and future growth. In the upcoming months, the market will focus on how CoreWeave will integrate these assets and navigate potential legal challenges from shareholders.
Power Capacity Takes Center Stage
One of the most strategic aspects of this acquisition is the extensive infrastructure that CoreWeave will inherit. The company will take ownership of approximately 1.3 gigawatts of gross power across Core Scientific’s data center footprint in the United States. Furthermore, CoreWeave has identified over 1 gigawatt of potential expansion capacity, granting it unprecedented leverage in scaling its AI and high-performance computing operations.
This development is critical as global demand for AI computing power continues to surge, placing immense constraints on data center capacity. CoreWeave plans to repurpose much of this infrastructure for AI and high-performance computing tasks while keeping the option open to divest some of Core Scientific’s cryptocurrency mining assets in the medium term.
Market Reactions and Future Outlook
Despite being deemed transformative for CoreWeave, the market’s immediate reaction has been tepid. Following the announcement, Core Scientific’s shares plummeted by over 15%, indicating that some investors believe the offered premium did not fully account for the company’s recent growth trajectory. Core Scientific’s profits doubled in the first quarter of 2025 to $580 million, although revenues faced headwinds from the recent Bitcoin halving effects.
At the time of the acquisition, Core Scientific ranked as the 33rd largest holder of Bitcoin, with 977 BTC on its balance sheet. However, CoreWeave has made it clear that this acquisition is not aimed at reentering cryptocurrency mining but rather reallocating the resources for AI and high-performance computing.
