Core Scientific Seeks $3.3B Bond as Bitcoin Miner Rides AI Data Center Debt Boom
Core Scientific (NASDAQ: CORZ) is seeking to raise $3.3 billion in senior secured notes as the Bitcoin miner-turned data center developer moves to refinance debt and fund the buildout of its AI compute colocation infrastructure.
Core Scientific announced on Tuesday that it plans to issue the notes due 2031 to qualified institutional buyers, with proceeds to be used in part to establish a debt service reserve account. Core Scientific said it intends to use a portion of those funds to fully repay its outstanding delayed draw term loans tied to a previously announced 364-day credit facility, including accrued interest and associated fees.
Core Scientific’s stock price is up 6% during pre-market trading hours on Tuesday.
The notes will be backed by first-priority liens on substantially all assets of Core Scientific and certain subsidiaries, as well as equity interests. Subsidiaries, including Core Scientific’s operating entities in Texas, Georgia, North Carolina, and Oklahoma, will serve as guarantors.
The financing also includes a completion guarantee from Core Scientific tied to several ongoing data center developments in Dalton, Georgia; Denton, Texas; Marble, North Carolina; and Muskogee, Oklahoma. Under the arrangement, Core would be required to inject additional capital if proceeds from the notes and other available funds fall short of completing the projects.
The planned issuance marks one of the largest debt raises by a Bitcoin mining company since the industry began pivoting toward high-performance computing and AI infrastructure. Miners and data center developers have turned to asset-backed and secured credit structures to fund capital-intensive expansions, often pledging physical infrastructure, long-term contracts, and power capacity as collateral.
Core Scientific previously secured a $500 million, 364-day credit facility from Morgan Stanley and a second $500 million facility from JPMorgan, underscoring its reliance on short-term financing to accelerate construction timelines.
