Bitcoin (btc) Miner Core Scientific has released a filing outlining its plans to emerge from bankruptcy in early January 2024. The filing is based on the third amended joint Chapter 11 plan. archived on Nov. 16 and includes an audio commentary from CEO Adam Sullivan.
Separate planning is underway for common shareholders and holders of two series of convertible notes. Common shareholders will receive new shares exchanged at a ratio of 25:1, giving them $1.08 per share before the exchange.
Bondholders will receive $1,628 per $1 face value for bonds maturing in April and $1,201 per $1 face value for bonds maturing in August. Those payments will be made on January 3, 2024.
If it reaches agreements with key shareholders, Core Scientific will emerge from bankruptcy with $709 million in net debt and $791 million in equity value on January 5, 2024. Through 2025, only $46 million in debt will mature.
Related: 'Unfairly enriched': Core Scientific rejects Celsius' $4.7 million claim
Core Scientific operates seven facilities in five states and has a total operating capacity of 724 MW. It projects adding 372 MW of capacity through fiscal 2027 and seeing its revenue increase from $583 million in 2024 to $968 million in 2027.
from today $CORZ self-mined daily #Bitcoin for the last reported 24-hour period (December 2, 2023): 30.1 pic.twitter.com/KuKyORAkka
โ Scientific Core (@Core_Scientific) December 3, 2023
Core Scientific filed for bankruptcy at the end of December 2022. Low revenue and low Bitcoin prices were blamed for the company's failure. A week earlier she had rejected a rescue offer from financial services platform B. Riley.
Shareholders can vote on the plan until December 13, and the Bankruptcy Court for the Southern District of Texas will make a decision on the plan on December 22. If approved, the plan will take effect on January 5, 2024.
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