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CoreWeave CEO Says the Firm Doesn’t Need Core Scientific if Acquisition Offer Is Rejected

Michael Intrator, the CEO of AI infrastructure firm CoreWeave (CRWV), told CNBC that Core Scientific (CORZ) would be “nice to have,” but isn’t essential for the company’s plans. For context, CoreWeave offered an all-stock deal worth about $9 billion in July to acquire Core Scientific, a Bitcoin miner and data center operator. Right after the […]

Michael Intrator, the CEO of AI infrastructure firm CoreWeave (CRWV), told CNBC that Core Scientific (CORZ) would be “nice to have,” but isn’t essential for the company’s plans. For context, CoreWeave offered an all-stock deal worth about $9 billion in July to acquire Core Scientific, a Bitcoin miner and data center operator. Right after the offer, Core Scientific’s stock dropped nearly 18%, and the deal has since faced criticism.

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In fact, proxy advisor ISS urged shareholders to vote against the offer after stating that it undervalues Core Scientific. In addition, earlier this month, major shareholder Two Seas Capital said that the offer was too low and urged others to reject it. Unsurprisingly, Intrator said that he was disappointed by ISS’ view but still believes the acquisition would benefit Core Scientific in the long run. However, CoreWeave will not raise its offer.

“We think that the bid that we put out there for [Core Scientific] is a fair representation of the relative value of the two companies as an all stock deal.” He also emphasized that the price offered is final. “Everything has a value, and the number we put out is the value we’re willing to pay for them under all circumstances.” The final vote will happen on October 30. Meanwhile, CoreWeave is actively expanding by acquiring companies like OpenPipe, Weights & Biases, and Monolith.

Is CRWV Stock a Good Buy?

Turning to Wall Street, analysts have a Moderate Buy consensus rating on CRWV stock based on 14 Buys, 11 Holds, and two Sells assigned in the past three months, as indicated by the graphic below. Furthermore, the average CRWV price target of $157.63 per share implies 26.6% upside potential.

See more CRWV analyst ratings

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