The battle at IPO aVWAP is heating up. ⚓️ Buyers and sellers fighting for control. $CRWV https://t.co/8UXxcZNLHv
CoreWeave’s $9 Billion Acquisition of Core Scientific https://t.co/Um2dbv2OZ5
$CORZ -1%, $CRWV +2% [CoreWeave's $9B Core Scientific acquisition faces shareholder revolt. Core Scientific investors are upset by a fixed stock ratio as CoreWeave's shares dropped 30%+, reducing their valuation. They seek better terms, like a collar agreement, to avoid being https://t.co/10ld0iZE7D
CoreWeave’s proposed $9 billion all-stock takeover of data-centre operator Core Scientific is running into resistance from several of the target’s largest shareholders, according to the Financial Times. The investors say the fixed exchange ratio agreed in July now sharply undervalues Core Scientific because CoreWeave’s share price has fallen about 30 % since the deal was announced. The decline has reduced the implied purchase price to a little over $13 a share, down from roughly $20.25 at signing. Hedge funds that together hold a meaningful stake in Core Scientific are weighing a vote against the transaction unless CoreWeave provides downside protection—such as a collar or a higher share count—to restore lost value. A shareholder vote has not been scheduled but is expected later this autumn. The stand-off threatens to derail one of the largest mergers in the rapidly consolidating AI-infrastructure market, where CoreWeave is seeking control of Core Scientific’s 1.3 GW power footprint to secure capacity for Nvidia-powered computing clusters.