Core Scientific’s Shares Fall 10%
Public crypto miner Core Scientific has recently announced plans to offer up to $350 million in convertible senior notes expiring in 2029.
Following this announcement, the company’s stock, CORZ, has dropped by over 10%. The notes will be offered in a private placement to qualified institutional investors and may include an option for purchasers to buy an additional $52.5 million in notes.
There is an option for investors to hold the unsecured, senior debt until maturity or convert it into shares. Interest will be paid out twice a year.
The proceeds from the offering will be used to pay off outstanding loans and redeem senior secured notes, with any remaining funds to be used for general corporate purposes, potentially including acquisitions.
