Core Scientific announced plans to issue $350 million in convertible senior notes, and its stock price fell more than 10% the next day

Core Scientific, a publicly traded bitcoin miner, announced plans on Tuesday to issue up to $350 million in convertible senior notes due in 2029. The company's shares (CORZ) fell more than 10% the day after the announcement. The bonds will be offered in a private offering to qualified institutional buyers and may come with a provision requiring buyers to purchase an additional $52.5 million of the bonds. Investors can choose to hold the senior unsecured debt until maturity or convert it into stock. Interest is payable semiannually. "Core Scientific intends to use the net proceeds from this offering to repay in full its outstanding loan under the credit and security agreement entered into on January 23, 2024, and to redeem all of its outstanding senior secured notes due 2028," the company wrote in a statement. The remaining funds will be used for "general corporate purposes," including potential acquisitions. (The Block) Previously, Bitcoin mining company Core Scientific released its Q2 financial report for fiscal year 2024. The key points are as follows: -Net loss was $804.9 million, compared with $9.3 million in the same period of 2023; -Total revenue was $141.1 million, compared with $126.9 million in the same period of 2023; -Operating income was $6.6 million, compared with $9.5 million in the same period of 2023; -Adjusted EBITDA was $46 million, compared with $45 million in the same period of 2023.