Bitcoin Miner Core Scientific Overcomes Bankruptcy, Eyes Stock Market Return
The major US-based Bitcoin miner Core Scientific has emerged from bankruptcy. The company is now preparing to return to the stock market.
The United States Bankruptcy Court for the Southern District of Texas has confirmed Core Scientific’s Chapter 11 plan of reorganization. This paves the way for the company to resume normal operations and re-list its shares on the Nasdaq stock exchange. Core Scientific stock is expected on the market “by the end of January 2024,” an announcement from Tuesday said.
The Bankruptcy Court has confirmed our Chapter 11 plan of reorganization. The Bankruptcy Court's approval of our plan clears the way for Core Scientific to emerge and re-list on Nasdaq by the end of January 2024!
Read the full press release here: https://t.co/9pvy6hKOrP pic.twitter.com/3rnKjG1TBv
— Core Scientific (@Core_Scientific) January 16, 2024
The approved plan outlines that shareholders, as of the anticipated record date of January 23, 2024, will receive shares of the company’s new common stock and warrants, constituting approximately 60% of the new equity.
Assuming the cash exercise of applicable warrants and the funds are used to pay down debt, this move will result in the full payment of the company’s existing debt. Consequently, the firm will be reducing debt from its balance by approximately $1 billion prior to the plan.
The announcement that the miner’s restructuring plan had been approved came after the firm in December said it had “reached an agreement in principle” with all key stakeholders on the terms of its restructuring.
In a comment, Core Scientific’s CEO, Adam Sullivan, expressed confidence in the company’s future, emphasizing the alignment for success and the motivation of the team.
Sullivan said:
“With demand
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