Core Scientific rises after upsized $550 mln convertible offering
** Shares of Core Scientific CORZ.O up 4% at $16.70 early Tues after bitcoin mining and high-performance computing data center operator raises more capital than targeted
** Austin, Texas-based firm early Tues announced pricing private offering of $550 mln 0% convertible bonds due Jun 15, 2031 (6-1/2-year tenor)
** Offering size boosted from $500 mln
** Initial conversion price of $22.49 represents 42.5% premium to stock's VWAP (volume weighted average price) from 2:00-4:00 p.m. ET on Mon
** Co intends to use net offering proceeds for general purposes, including potential acquisitions or securities repurchases
** With ~279.3 mln shares outstanding, co has ~$4.7 bln market cap, per LSEG
** Shares, which have surged nearly 80% over the past three months, closed at $3.44 on Jan 24 after co emerged from bankruptcy
** In Oct, Nvidia-backed NVDA.O AI hyperscaler CoreWeave exercised final contract option to take an additional 120 MWs of computing power from Core Scientific
** In Jun, Core Scientific rejected a $1 bln buyout offer from CoreWeave
(Lance Tupper is a Reuters market analyst. The views expressed are his own)
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