Core Scientific’s largest active shareholder, Two Seas Capital, has publicly opposed the $9 billion acquisition offer by AI infrastructure firm CoreWeave, citing undervaluation and long-term risks.
In a letter released Thursday, the investment firm, which holds a 6.5% stake in Core Scientific, announced its intent to vote against the proposed deal, finalized in July. The letter claims the offer “materially undervalues the Company and unnecessarily exposes its shareholders to substantial economic risk.”
“The transaction decidedly and unfairly favors CoreWeave at the expense of Core Scientific shareholders,” the statement read.
The backlash comes after Core Scientific’s share price dropped by 30% in the days following the deal’s announcement, signaling widespread investor concerns. Despite a short-term rebound, the stock currently trades at $14.38, a modest 3% increase following the release of the shareholder letter.
CoreWeave, valued at over $58.1 billion, has long eyed Core Scientific as a strategic acquisition target. The companies have worked closely, with CoreWeave leasing AI data center capacity from Core Scientific to meet surging demand for training and inference infrastructure.
“Core Scientific is uniquely positioned to meet the growing demand for AI compute and has a clear runway to compound growth for many years,” Two Seas Capital emphasized.
By acquiring Core Scientific, CoreWeave aims to expand its data center footprint rapidly — a key requirement in today’s high-performance computing (HPC) race. However, shareholders argue that Core Scientific’s intrinsic growth potential should not be surrendered at what they consider a discounted price.
“A $9 billion offer grossly undervalues a company leading the charge in energy-efficient HPC infrastructure,” an institutional analyst commented.
Core Scientific currently holds a market cap of $4.3 billion, and the company’s strategic position in the AI and Bitcoin mining crossover space continues to attract institutional interest.
As the shareholder vote approaches, the spotlight remains on how Core Scientific will respond to growing investor resistance — and whether a revised offer may emerge.
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