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ToggleWith the explosive growth in computing power demand from artificial intelligence, Bitcoin mining companies with electricity resources and physical space have become highly sought-after assets on Wall Street. Core Scientific (Nasdaq: CORZ) announced on the evening of March 23 (Taiwan time) that it had successfully secured an additional $500 million loan commitment from JP Morgan through a 364-day "accordion feature" credit line.
This brings the company's total strategic financing to $1 billion , demonstrating the positive endorsement of its business model transformation by top financial institutions.
Strategic Financing Structure: Two Top Investment Banks Join Forces
This financing plan, jointly established by two of the world's largest investment banks, provides Core Scientific with significant financial flexibility. Details of the facility, according to SEC filings and official announcements, are as follows:
| Financing participants | Committed amount | Loan interest rate terms | Financing period |
|---|---|---|---|
| Morgan Stanley (MS) | $500 million (already invested in early March) | SOFR + 250 bps (2.50%) | 364 days |
| JPMorgan Chase (JPM) | $500 million (newly added this time) | SOFR + 250 bps (2.50%) | 364 days |
| Total amount | $1 billion | – | – |
Use of funds: Targeting AI and HPC infrastructure
Core Scientific CEO Adam Sullivan stated, "Having $1 billion in funding enables us to execute our development and go-to-market strategies more effectively in today's strong demand environment."
The company plans to invest the funds in the following key areas:
- Data center transformation: Transforming existing Bitcoin mining facilities into data centers that support high-density AI workloads.
- Equipment and energy procurement: Purchase next-generation GPU server hardware and sign long-term power supply agreements to ensure stable computing power.
- Real estate acquisitions: Further expand its data center campuses in Texas, North Carolina, and other locations.
Market reaction: The benefits of transformation are gradually emerging.
Benefiting from long-term hosting agreements with AI giants like CoreWeave, Core Scientific has significantly raised its revenue forecast for 2026. While the company still faces challenges from digital asset price volatility, analysts point out that shifting from low-margin proprietary mining to high-margin AI hosting services (colocation) is aligning its valuation model with that of software and cloud infrastructure stocks.
As of press time, CORZ was performing steadily in US trading. It rose approximately 5% after the opening bell, with the stock price temporarily at $16.60 and a market capitalization of approximately $5.28 billion.
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