Texas-based digital infrastructure provider Core Scientific (CORZ) has secured up to $1 billion in strategic funding from Morgan Stanley to support the development of its data center infrastructure.
The Company announced the initial closing of a $500 million 364-day financing facility with an accordion option to increase the total amount by an additional $500 million, subject to standard terms. Borrowings under this scheme are subject to interest at the Secured Overnight Financing Rate (SOFR) plus 2.50%.
CEO Adam Sullivan said the additional capital will allow the company to move projects that are ready for service faster and better meet growing customer demand.
Core Scientific intends to use the funds for general corporate purposes related to data center development. This includes equipment purchases, early stage project costs, land acquisition, and securing additional energy supply contracts needed to power future facilities.
The announcement comes just days after Core Scientific’s fourth quarter results, during which the company revealed it sold $175 million worth of Bitcoin as it pivoted toward AI infrastructure.
Core Scientific shares fell about 1% in premarket trading Thursday.
