Core Scientific Announces $400 Million Offering, Stock Drops 10%

Core Scientific, a Bitcoin miner, saw a 10% drop in its stock after announcing a $400 million offering of convertible senior notes, up from the initial $350 million. These notes can be converted into equity and accrue interest. The stock fell to $8.46 per share on Nasdaq but recovered slightly after hours. The offering, available only to institutional buyers, includes an option to purchase an additional $60 million in notes. The proceeds will be used to repay debts, with the remaining amount allocated for corporate purposes. Despite recent losses and bankruptcy in the past, Core Scientific remains optimistic, reporting significant Bitcoin mining and potential long-term contracts. The company's resilience and strategic plans indicate a promising future amidst challenges in the crypto industry.