Core Scientific (CORZ) Strengthens Balance Sheet

Core Scientific, Inc. (NASDAQ: CORZ) (“Core Scientific” or the “Company”), a leader in digital infrastructure for bitcoin mining and high-performance computing, today announced it has repaid a total of $267 million in debt with proceeds from its offering of convertible senior notes first announced on August 13, 2024, which closed on August 19, 2024.

The Company repaid $150 million in secured notes, $61 million in an exit facility and $56 million in miner equipment loans, in addition to interest and other fees. Interest rates on the prior borrowings were as high as 12.5% as compared to 3% for the new convertible notes. Net proceeds from the offering after all payments (including commissions and estimated offering expenses) totaled $172.8 million, significantly increasing cash on hand available for site acquisition and other growth initiatives.

“Our recent convertible note issue represents another key step in our commitment to strengthen our balance sheet and position Core Scientific for future growth,” said Adam Sullivan, Core Scientific’s Chief Executive Officer. “With this transaction completed, we are moving forward with additional financial flexibility to invest in the continued expansion of our HPC hosting capacity while strengthening our bitcoin mining business. We will continue to take steps to bolster our financial foundation as we execute our growth strategy to create value for our shareholders.”

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