Core Scientific to Offer $3.3 Billion of Senior Secured Notes to Finance Shift Into AI Data Centers

Core Scientific (Nasdaq: CORZ) said Tuesday that its subsidiary, Core Scientific Finance I LLC, plans to issue $3.3 billion of senior secured notes due 2031 in a Rule 144A private placement. The notes will be guaranteed by five subsidiaries and secured by first-priority liens on substantially all subsidiary assets. The company said proceeds will be used to fund a debt service reserve and to fully repay its delayed-draw term loans under its recently expanded 364-day credit facility. Core Scientific said the financing will support development of new high-density colocation data centers in Georgia, Texas, North Carolina, and Oklahoma. Across five project sites, the company has secured 590 MW of critical IT capacity and 900 MW of grid capacity. In its S-1, Core Scientific cited illustrative projections of $7.8 billion in revenue and $3.5 billion in net operating income through 2031, supported by licensing agreements with CoreWeave. The company described the strategy as one of the most significant transitions by a bitcoin miner into AI infrastructure. Core Scientific has previously said it expects to sell "substantially all" of its BTC holdings during 2026 to help fund the shift. JPMorgan and Morgan Stanley expanded the company's credit line to a combined $1 billion in March. CORZ shares closed Tuesday at $20.38, up 2.57%, and are up 211% over the past year.