After merging with Power & Digital Infrastructure Acquisitions Corp., Core Scientific is listing on the Nasdaq via a SPAC deal.
One of North America’s largest Bitcoin mining companies, Core Scientific, is going public on the Nasdaq. The listing will be done through a merger with Power & Digital Infrastructure Acquisition Corp. The deal lists the value of the crypto miner at $4.3 billion. The merged company is expected to be named Core Scientific Inc.
The merger will allow Core Scientific to not only mine digital assets but to also develop other blockchain services at scale and utilizing lower costs. Clean and renewable energy is also something the miners will continue to focus on as the current operation is 100% net carbon-neutral. The goal is to remain at that level as the company continues to grow across the United States into North Dakota, North Carolina, Georgia, and Kentucky.
Details of the transaction
According to Core Scientific, the operation has mined 928 bitcoins so far in Q2 and predicts revenues to eclipse $1 billion by 2022. The miner also stated that it will have an estimated year-end power capacity of over 500 megawatts. Power is provided by several dedicated facilities strategically located in different regions of the United States.
The merger is expected to net more than $300 in cash proceeds to Core Scientific at closing after expenses and under the assumption of no redemptions of shares by existing Power & Digital Infrastructure Acquisition Corp. (XPDI) stakeholders.
The press release states that existing stockholders of Core Scientific will retain all of their equity in the newly formed combined entity. Those stockholders will own nearly 90%, with XPDI stockholders controlling around 8%. The final 2% of the issued and outstanding shares of common stock will be owned by XPDI’s sponsor.
The announcement goes on to say that “The Core Scientific and XPDI Boards of Directors have unanimously approved the proposed merger, which is expected to be completed in the fourth quarter of 2021, subject to, among other things, regulatory approval, the approval by Core Scientific’s and XPDI’s stockholders of the proposed merger and satisfaction or waiver of other customary closing conditions.”
XPDI will file a report later in the day with the Securities and Exchange Commission (SEC) which will contain additional information about the proposed merger.
It has not been announced what the ticker name will be or when trading will actually begin.
BeInCrypto has reached out to company or individual involved in the story to get an official statement about the recent developments, but it has yet to hear back.