Bitcoin miner Core Scientific has completed a $55 million equity offering
Bitcoin miner Core Scientific has closed a $55 million equity financing round as it returns to settlement.
A $55 million equity offering expired last week and was oversubscribed, according to a Jan. 8 announcement. “Due to this successful increase and following the full payment of the previously collected DIP [debtor-in-possession] “We are in a strong position to continue to execute our growth plans, with improved liquidity and improved liquidity from Chapter 11 in January,” said Core Scientific CEO Adam Sullivan.
In the year In its November 2023 financial statements, the company disclosed $2.3 billion in assets and $559 million in liabilities for a total of $1.8 billion. After the bankruptcy proceedings are completed, the company plans to be listed on the NASDAQ exchange.
On January 4, Core Scientific announced that it had prepaid the outstanding DIP balance provided by lender Riley Financial. The $35 million in financing under the DIP agreement remains accessible to the company.
Core Scientific has lent crypto firm Celsius a December 2022 crypto winter amid rising energy prices, mining woes and bad debt. Under the restructuring plan, the company will emerge from bankruptcy with $709 million in net debt and $791 million in equity. Core Scientific shareholders will receive new shares at a 25:1 ratio to offer $1.08 per share in the pre-exchange. Meanwhile, noteholders will receive $1.628 per $1 of face value for notes due in April and $1.201 per $1 of face value for notes due in August.
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