Core Scientific announces merger with CoreWeave

By Tamara Parker • Thursday, October 16 10:28 • Permanent Link

Core Scientific, a leading infrastructure and software solutions provider, has announced a proposed merger with CoreWeave in an all-stock transaction. The proposed merger reflects a significant premium and upside opportunity for Core Scientific stockholders. The exchange ratio of 0.1235 newly-issued shares of CoreWeave class A common stock for each share of Core Scientific common stock represents a ~71% premium to the 10-day VWAP exchange ratio as of June 25, 2025.

Since Core Scientific's emergence from bankruptcy, the company has significantly expanded its commercial relationship with CoreWeave, culminating in the proposed merger. CoreWeave currently represents the vast majority of Core Scientific’s total consolidated revenue, with projected future revenues expected to constitute around 95% of Core Scientific’s colocation revenue and 76% of its total projected revenue by 2026.

The proposed merger is expected to bring significant pro forma combination benefits, including potential cost savings and synergies, creating value for Core Scientific stockholders. It also eliminates the standalone execution risk on timely delivery of currently leased data centers and projected future leasing in Core Scientific’s current business plan, as well as its ~$7.3 billion financing need.

The transaction has been unanimously approved by the boards of directors of both companies and is expected to close in Q4 2025, subject to approval by the affirmative vote of a majority of Core Scientific’s outstanding common shares. Additionally, the HSR waiting period expired on August 25, 2025.

The combined company is expected to benefit from a significant total addressable market, with a projected addressable market of approximately $400 billion by 2028. Furthermore, the transaction is anticipated to generate significant cost savings through streamlining business operations and eliminating lease overhead.

The proposed merger also aims to de-risk the path to scale for both companies, with the majority of the asset base already reserved by CoreWeave, creating a more resilient path to scale and additional upside for Core Scientific stockholders.

Today the company's shares have moved 5.28% to a price of $19.94. For the full picture, make sure to review Core Scientific's 8-K report.

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