CoreWeave’s (CRWV) planned acquisition of bitcoin mining firm Core Scientific (CORZ) is facing rising pushback. Core Scientific’s largest active shareholder, Two Seas Capital, released a detailed investor presentation urging shareholders to reject the proposed sale.
Elevate Your Investing Strategy:
- Take advantage of TipRanks Premium at 50% off! Unlock powerful investing tools, advanced data, and expert analyst insights to help you invest with confidence.
With a shareholder vote scheduled for October 30, the uncertainty over CoreWeave’s $1.3GW data center acquisition is rising.
Shareholder Revolt over Deal Terms
Two Seas Capital argued that the acquisition, announced in July 2025, undervalues Core Scientific at a time when the demand for AI infrastructure is booming.
Also, it noted that since the merger announcement, stocks of other companies in the same space, such as Applied Digital (APLD), Cipher Mining (CIFR), and TeraWulf (WULF), have tripled or even quadrupled. Meanwhile, Core Scientific stock has only risen 9%, and CRWV stock has dropped 15%, dragging down the implied value of the deal.
The letter also claimed that if Core Scientific had simply kept pace with its weakest peer, its stock would be trading around $45 per share. Instead, the deal values it at just $17.50 per share, using CoreWeave’s underperforming stock as the exchange.
Two Seas believes Core Scientific has “far superior” options than the current agreement. Two Seas Capital’s founder and chief investment officer, Sina Toussi, said, “We urge our fellow shareholders to join us in voting AGAINST the proposed transaction on the GOLD proxy card, so that Core Scientific shareholders can realize further upside from owning one of the best assets in the AI landscape.”
CRWV Appoints First CRO
CoreWeave has named a former Amazon (AMZN) executive, Jon Jones, as its first-ever chief revenue officer, to drive growth across its AI cloud infrastructure business.
The appointment comes as the company positions itself as a key player in powering generative AI workloads, including partnerships with OpenAI and other high-demand clients.
Is CRWV a Good Stock to Buy?
Turning to Wall Street, analysts have a Moderate Buy consensus rating on CRWV stock based on 14 Buys, 11 Holds, and two Sells assigned in the past three months. Further, the average CoreWeave stock price target of $152.60 per share implies 17.51% upside potential.
