After merging with Power & Digital Infrastructure Acquisitions Corp, Core Scientific enters Nasdaq
via SPAC transaction. Sponsored Sponsored
One of North America’s largest BTC mining companies, Core Scientific, is going public on Nasdaq. The listing will take place through a merger with Power & Digital Infrastructure Acquisition Corp. The deal values the cryptocurrency miner
at $4.3 billion. The combined company is expected to be named Core Scientific Inc.
The merger will allow Core Scientific to not only mine digital assets, but also develop other blockchain services on a large scale and at a lower cost. Clean and renewable energy is also something that the miner will continue to focus on, as its current operations are 100% carbon neutral. The goal is to stay that way as the company continues to expand across the United States in North Dakota, North Carolina, Georgia and Kentucky.
According to Core Scientific, the operation has mined 928 BTC so far in Q2. Revenue is expected to exceed $1 billion by 2022. The mine
also said that it will have an estimated capacity of over 500 megawatts by year-end. The power is provided by several dedicated facilities strategically located in different regions of the United States.
The merger is expected to generate more than $300 million in cash proceeds for Core Scientific upon completion. This is all after expenses and assuming no share buybacks by existing shareholders of Power & Digital Infrastructure Acquisition Corp. (XPDI).
The press release states that current Core Scientific stockholders will retain all of their shares in the newly formed combined entity. They will own nearly 90% of the shares, and XPDI shareholders will control about 8% of the shares. 2% of the issued and outstanding common stock will be owned by the XPDI sponsor. In the announcement we can read:
The boards of directors of Core Scientific and XPDI have unanimously approved the proposed merger, which is expected to close in the fourth quarter of 2021, subject to, among other things, regulatory approval, approval by the stockholders of Core Scientific and XPDI of the proposed merger and satisfaction or waiver of other customary closing conditions.
XPDI will later file a report with the Securities and Exchange Commission (SEC) that will contain additional information n
about the proposed merger.
As yet, no announcement has been made as to what symbol it will operate under, or when trading will commence.
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