CoreWeave (CRWV) CEO Michael Intrator informed CNBC that the company will not increase its $9 billion all-stock proposal for bitcoin miner Core Scientific (CORZ), describing the acquisition as a “nice to have, not a need to have.” He stated that the offer accurately represents the relative value of both firms and that CoreWeave will proceed as planned regardless of the deal’s acceptance.
Additionally, proxy advisory firm Institutional Shareholder Services (ISS) urged shareholders yesterday to vote against CoreWeave’s proposed acquisition of Core Scientific ahead of the vote on Oct. 30.
ISS posited that Core Scientific, a provider of computing power, has performed admirably independently and can continue to thrive without the merger.
CoreWeave, a cloud infrastructure company focused on AI, proposed an all-stock deal for CORZ at $20.40 per share in July.
Core Scientific investor Two Seas Capital has been at the forefront of opposing the deal, highlighting issues with the sale process, deal structure, and valuation, and expressing concerns that the fixed exchange ratio puts Core Scientific shareholders at risk due to CoreWeave’s stock volatility.
CRWV fell by 4.3% during Tuesday trading, while CORZ gained 1.6%, nearing its highest level since the July deal announcement — possibly indicating market preference for the company to remain independent rather than moving forward with the sale.
