CoreWeave has finalized its acquisition of Core Scientific for a staggering $9 billion in an all-stock deal. This strategic move aims to enhance CoreWeave’s capabilities in artificial intelligence (AI) and high-performance computing (HPC) by adding significant energy capacity.
Details of the Acquisition
CoreWeave’s acquisition of Core Scientific marks one of the largest deals in AI infrastructure this year, concluding over a year of negotiations after previous offers were rejected for undervaluation. The deal will provide CoreWeave with an additional 1.3 gigawatts of power capacity, significantly boosting its operations in the AI sector.
As part of the agreement, holders of Core Scientific’s common stock (CORZ) will receive 0.1235 shares of CoreWeave common stock for each share they own. This transaction values Core Scientific at approximately $20.40 per share, representing a 66% premium over its closing price of $12.30 on June 25.
The merger is anticipated to close in the fourth quarter of 2025, pending shareholder and regulatory approvals. Following the completion of the transaction, Core Scientific shareholders will hold less than 10% of the combined entity.
Power Capacity and Cost Savings
One of the most significant advantages of this acquisition is the infrastructure CoreWeave will inherit. The company will acquire around 1.3 gigawatts of gross power across Core Scientific’s data center footprint in the U.S. Furthermore, CoreWeave has identified the potential for over 1 gigawatt of additional expansion.
This move is crucial as the global demand for AI computing power continues to rise, and data center capacity remains a critical limitation. CoreWeave plans to allocate much of this infrastructure to AI and HPC tasks, while potentially divesting certain cryptocurrency mining assets from Core Scientific in the medium term.
In addition to bolstering infrastructure, CoreWeave expects to achieve over $500 million in annual cost savings by the end of 2027. These savings will primarily stem from the elimination of more than $10 billion in anticipated future lease obligations over the next 12 years. By fully owning its data center assets, CoreWeave can streamline operations and reallocate capital toward more strategic growth investments.
Market Reaction
Despite being viewed as transformative for CoreWeave, the market’s immediate response was mixed. Core Scientific’s stock fell over 15% following the announcement, suggesting some investors believe the offered premium does not fully reflect the company’s recent growth. Core Scientific’s revenues have more than doubled in the first quarter of 2025, reaching $580 million, although its financial performance has been impacted by the recent Bitcoin halving.
At the time of the acquisition, Core Scientific was the 33rd largest holder of Bitcoin, maintaining a balance of 977 BTC. However, CoreWeave has clarified that the focus of this acquisition is not on returning to cryptocurrency mining, but on reallocating the infrastructure for AI and HPC purposes.
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