• CoreWeave has finalised a deal to acquire Core Scientific for $9 billion.
• The deal adds 1.3 GW of power capacity for AI and HPC expansion.
• Under the agreement, CORZ holders will get 0.1235 CoreWeave shares per CORZ share.

CoreWeave has finalized a landmark $9 billion all-stock acquisition of Bitcoin mining giant Core Scientific, in a move that underscores the company’s ambition to dominate AI and high-performance computing infrastructure.

The deal, announced on Monday, marks one of the largest takeovers in the AI infrastructure space this year and follows over a year of pursuit, with previous bids rejected for being undervalued.

CoreWeave, a fast-growing cloud provider specializing in AI workloads, is leveraging the acquisition to significantly expand its power capacity and reduce long-term operational costs.

The deal locks in $9B value with a major premium

CoreWeave’s journey to acquire Core Scientific began with a $1 billion bid in early 2024, which was firmly rejected as undervalued.

Since then, Core Scientific’s market capitalization has more than tripled, thanks to strong operational performance and renewed investor interest in crypto infrastructure.

Now, with this $9 billion agreement, CoreWeave not only gets a foothold in crypto-hosting infrastructure but also gains critical assets to fuel its broader AI ambitions.

Under the terms of the agreement, Core Scientific shareholders will receive 0.1235 shares of newly issued CoreWeave Class A common stock for every share of CORZ they own.

This exchange values Core Scientific at approximately $20.40 per share, which represents a 66% premium over its closing price of $12.30 on June 25.

The merger, expected to close in the fourth quarter of 2025 pending shareholder and regulatory approvals, will result in Core Scientific shareholders owning less than 10% of the combined company.

The stock-based nature of the transaction signals CoreWeave’s long-term confidence in its equity value and future growth strategy.

In the months ahead, attention will turn to how the company integrates these assets, repositions them for high-performance computing, and navigates potential legal challenges from shareholders.

Power capacity takes centre stage

One of the most strategic aspects of the acquisition is the scale of infrastructure CoreWeave will inherit.

The company will assume ownership of approximately 1.3 gigawatts of gross power across Core Scientific’s US data centre footprint.

In addition, the company has identified over 1 gigawatt of potential expansion capacity, giving it unprecedented leverage in scaling AI and HPC operations.

This development is critical, especially as global demand for AI computing power continues to soar and data centre capacity becomes a key constraint.

CoreWeave plans to repurpose much of this infrastructure for AI and HPC tasks, while also leaving open the option to divest some of Core Scientific’s crypto-mining assets in the medium term.

Cost savings and vertical integration boost CoreWeave

Beyond infrastructure, CoreWeave expects the merger to unlock over $500 million in annual run-rate cost savings by the end of 2027.

These savings will come primarily from eliminating more than $10 billion in expected future lease obligations over the next 12 years.

By owning its data centre assets outright, CoreWeave can streamline operations, avoid lease-related risks, and reallocate capital toward more strategic growth investments.

This vertical integration also strengthens the company’s ability to host large-scale deployments of next-generation AI hardware, such as Nvidia’s GB300 NVL72 systems.

Market reaction

While the acquisition is seen as a transformative move for CoreWeave, the immediate market reaction was mixed.

Core Scientific’s shares fell by over 15% following the news, suggesting that some investors felt the premium offered did not fully capture the company’s recent growth.

Core Scientific’s earnings more than doubled in the first quarter of 2025 to $580 million, though its revenue was dampened by the effects of the recent Bitcoin halving.

At the time of the acquisition, the company was the 33rd largest corporate Bitcoin (BTC) holder, with 977 BTC on its balance sheet.

However, CoreWeave has made it clear that this acquisition is not about returning to crypto mining but about reallocating infrastructure for AI and HPC.

• The Blockchain Group and the Smarter Web Company have increased their exposure to Bitcoin.
• US-based healthcare technology company Semler Scientific also reported a fresh Bitcoin purchase of 187 BTC.
• Earlier in the day, Metaplanet announced adding 2,204 BTC to its treasury.

France-based The Blockchain Group and the United Kingdom’s Smarter Web Company have increased their exposure to Bitcoin, joining a growing number of corporates bolstering digital asset reserves.

In a Monday announcement, The Blockchain Group disclosed the purchase of 116 Bitcoin for approximately €10.7 million ($12.55 million).

Meanwhile, the Smarter Web Company announced it had acquired 226.42 BTC for £17.9 million ($24.34 million).

The acquisitions took place at an average cost of roughly $106,000 and $106,750 per coin, respectively.

Following the purchases, The Blockchain Group’s Bitcoin holdings now stand at 1,904 BTC, while the Smarter Web Company holds around 1,000 BTC.

Alexandre Laizet, deputy CEO of The Blockchain Group, stated in a post on X (formerly Twitter) that the firm’s Bitcoin yield in 2025 had reached 1,348.8%.

The Smarter Web Company reported a year-to-date yield of 26,242%.

Semler Scientific also buys BTC

Also on Monday, US-based healthcare technology company Semler Scientific reported a fresh Bitcoin purchase of 187 BTC for approximately $20 million, according to an 8-K filing with the US Securities and Exchange Commission.

The Nasdaq-listed firm acquired the coins at an average price of $106,906 per bitcoin between June 4 and July 2.

As of July 2, Semler said it had sold 4.1 million shares under the ATM program, raising $156.6 million in net proceeds.

The company’s total Bitcoin holdings now stand at 4,636 BTC, acquired at an average price of $92,753 per coin.

Based on current market prices, Semler is sitting on approximately $72 million in unrealized gains, with total acquisition costs — including fees and expenses — amounting to $430 million.

The corporate rush for Bitcoin

The uptick in corporate Bitcoin purchases reflects a broader trend driven by favorable market conditions, ETF inflows, and rising institutional interest.

Firms such as Strategy — the world’s largest corporate holder of Bitcoin — continue to lead this movement.

Strategy on Monday disclosed that its unrealized gains had reached $14 billion in the second quarter of 2025, surpassing prior expectations of $13 billion.

The company’s latest acquisition, announced on June 30, involved the purchase of 4,980 BTC for $531.1 million.

Separately, Japan’s Metaplanet added 2,204 BTC to its treasury on Monday, spending $237 million.

The company now holds 15,555 BTC at an average price of approximately $99,985 per coin.

The continued accumulation by public companies underscores the growing perception of Bitcoin as a treasury reserve asset.

As market participants await Q3 activity, corporate interest appears to be sustaining momentum amid macroeconomic uncertainty and evolving digital asset regulation.

• Company held 3,182 BTC worth $263.5 million.
• Corporate BTC holdings rose 16.1% to 688,000 BTC.
• Semler plans a $500 million securities offering.

Semler Scientific has reported a $41.8 million unrealised loss on its Bitcoin holdings in the first quarter of 2025, underscoring the risks of crypto exposure among corporates.

The healthcare technology firm disclosed the loss in an April 15 filing with the US Securities and Exchange Commission (SEC), citing a decline in the fair value of its Bitcoin portfolio between 31 December and 31 March.

Bitcoin drops 12% in Q1

Bitcoin’s price declined by 12% during the quarter, falling from $93,500 to $82,350. That drop led to a sharp markdown in Semler’s crypto holdings, which stood at 3,182 BTC, valued at $263.5 million as of March 31.

The situation worsened in early April, with Bitcoin sliding below $75,000—a 32% correction from its all-time high.

Despite this, the company has not altered its crypto strategy. CEO Doug Murphy-Chutorian had earlier noted Semler’s dual focus on healthcare innovation and Bitcoin acquisition, a stance that remains unchanged in light of the recent downturn.

Corporate Bitcoin holdings rise 16%

While Semler faced paper losses, public companies overall expanded their Bitcoin exposure.

Data from Bitwise shows that listed firms added 95,431 BTC in Q1 2025—a 16.1% increase from the previous quarter.

By March-end, these holdings totalled 688,000 BTC, with a combined valuation of $56.7 billion based on the quarter’s closing price of $82,445 per Bitcoin.

According to blockchain tracker Bitbo, Semler is now the twelfth-largest corporate holder of Bitcoin, surpassing companies such as Boyaa Interactive.

The trend highlights sustained institutional demand, even amid market volatility.

Revenue and legal settlement update

Semler’s quarterly revenue was estimated between $8.8 million and $8.9 million, with operating losses projected between $1.3 million and $1.5 million.

The company also reported $10 million in cash and equivalents as of March 31.

Along with this, Semler disclosed a preliminary agreement to settle a civil investigation by the Department of Justice for close to $30 million. The filing did not specify the nature of the probe.

$500M securities offering planned

Semler also filed plans to raise up to $500 million through securities offerings, with part of the proceeds potentially going towards further Bitcoin acquisitions.

The company stated it may offer and sell securities “from time to time… up to an aggregate value of $500,000,000.”

Shares of Semler, listed on Nasdaq under the ticker SMLR, are down 36% so far in 2025.

The company acknowledged recent price swings and warned of continued volatility ahead, although it has not indicated any change to its digital asset strategy.

At the same time, interest in Bitcoin at the policy level continues to build in the US.

Data from Bitcoin Law indicates that 47 Bitcoin-related bills have been introduced across 26 states, with 41 still active.

On April 5, Kentucky became the latest to adopt digital asset protections with the passage of House Bill 701—the “Bitcoin Rights” law—under Governor Andy Beshear.

Semler Scientific has announced an increase in its convertible senior notes offering to $85 million from the previously planned $75 million. The company also granted initial purchasers the option to buy an additional $15 million in notes. This move aligns with its corporate strategy, which includes further investment in Bitcoin.

Semler Scientific Announces $85M Private Offering

In a press release, Semler Scientific announced that it had priced its private offering of $85 million aggregate principal amount of 4.25% convertible senior notes due 2030. The offering is made in reliance on the exemption provided by Rule 144A under the Securities Act of 1933, which permits the offer of securities to certain qualified institutional buyers. Subject to the satisfaction of certain conditions, the transaction is anticipated to be completed on January 28, 2025.

The notes are not secured, and the interest will be compounded at a rate of 4.25% per annum and will be paid on the first of February and the first of August of every year, starting from August 1, 2025. The conversion rate at the commencement of the offering is 13.0826 shares per $1,000 principal amount, which implies a conversion price of $76.44 per share. This is a 25% premium over the last reported stock price on January 23, as reported at the Nasdaq stock exchange. Semler Scientific can elect to receive the consideration in cash, stock, or a combination of both after the conversion.

The notes are not redeemable by the company before August 4, 2028. From this date, redemption is allowed if the common stock of Semler Scientific is trading at not less than 130% of the conversion price for a particular period. If a “fundamental change” occurs, for example, a merger or acquisition, noteholders are entitled to put their notes to the company and compel it to repurchase the notes at their face value plus interest.

Capped Call Transactions and Potential Market Effects

To limit the dilutive impact of note conversions, Semler Scientific used capped call transactions with financial institutions. These transactions establish a cap price of $107.01 per share, which is 75% above the last trading price of the stock on the 23rd of January 2025.

The company also anticipates that the financial institutions involved will offset their exposure by acquiring and liquidating Semler Scientific shares. 

As a consequence, these activities may affect the price of the stock before and after the transaction. If the option held by initial purchasers to purchase more notes is exercised, Semler Scientific anticipates that it will undertake further capped call transactions.

Semler Scientific Bitcoin Investment Strategy

Semler Scientific expects to receive gross proceeds of approximately $89.0 million in this offering, with net proceeds of approximately $81.4 million, or $95.8 million, if the additional $15 million option is exercised. 

The company will spend $6.6 million on the capped call options, and the rest of the money will be spent on corporate purposes, such as buying more Bitcoin.

This move comes after the company announced plans to raise $75 million to expand its Bitcoin strategy as part of its overall financial approach. The company has expressed its focus on digital assets, following the trend of corporations adopting Bitcoin on their balance sheets.

Bitcoin Market Developments and Broader Context

Semler Scientific’s decision follows a trend that has seen institutional investors and governments express interest in Bitcoin. 

The US government is said to be looking into the possibility of holding a Bitcoin reserve, with Senator Cynthia Lummis in charge of the Senate’s Digital Assets Subcommittee.

During the World Economic Forum, BlackRock CEO Larry Fink met with sovereign wealth fund managers to discuss Bitcoin investment approaches. Fink remarked that the Bitcoin price could reach as high as $700,000 if these fund managers allocate 2% to 5% of their portfolios in Bitcoin. 

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Kelvin Munene Murithi

Kelvin is a distinguished writer with expertise in crypto and finance, holding a Bachelor’s degree in Actuarial Science. Known for his incisive analysis and insightful content, he possesses a strong command of English and excels in conducting thorough research and delivering timely cryptocurrency market updates.

Disclaimer: The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.