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Two Seas Capital's Stance on Core Scientific's Future

In a recent communication, Two Seas Capital LP, an alternative investment firm and prominent shareholder of Core Scientific, Inc., highlighted their steadfast confidence in the company's standalone potential. With the impending vote on the proposed acquisition by CoreWeave, which is set for October 30, 2025, Two Seas is actively encouraging fellow shareholders to reconsider the transaction's merits.

The Basis for Concern

Two Seas argues that the acquisition, announced earlier in July, does not align with maximizing shareholder value. They assert that the rapid growth in AI infrastructure investment has affected the market's equity valuations, indicating a significant upside potential for Core Scientific's stock when compared to its peers. The firm estimates that if Core Scientific's stock were to reflect its industry counterparts accurately, it would be valued at more than double the proposed acquisition price of $16.40 per share from CoreWeave.

Confidence in Core Scientific

Two Seas Capital describes Core Scientific as a premier asset equipped with several advantages. It benefits from low-cost energy, a strong infrastructure, site management expertise, and an attractive future pipeline. According to Sina Toussi, the founder and Chief Investment Officer of Two Seas, Core Scientific's management team is well-positioned to capitalize on these strengths, which includes plans to expand its 700-megawatt pipeline and secure more hosting contracts to enhance its high-performance computing (HPC) capacity.

The Power of the Vote

Emphasizing the importance of shareholder participation, Two Seas urges investors to vote against the acquisition using the GOLD proxy card. They firmly believe shareholders hold the key to either embracing an exciting growth trajectory for Core Scientific or limiting its potential by aligning with CoreWeave.

A vote against the acquisition signals a commitment to exploring new opportunities within the rapidly growing AI sector where Core Scientific promises significant dividends for its investors. The future of Core Scientific, by Two Seas' estimation, is not merely about immediate returns but is about nurturing a leading figure in the AI investment landscape.

Past Performance and Future Aspirations

Amid fluctuating market trends, Two Seas emphasizes that Core Scientific's position allows it to thrive in an ever-evolving sector. The company is poised for growth with an expanding prospect of contracts and infrastructure improvements that are pivotal to achieving its aims.

Their communication underscores that Two Seas Capital is not merely against the acquisition; they are in support of a strategic focus that allows Core Scientific to realize its maximum potential over the coming years.

In light of these revelations, shareholders of Core Scientific have much at stake as they head towards the vote. Two Seas Capital's message is clear — the choice lies in embracing a future of untapped growth and innovation, rather than locking the company into a potentially detrimental acquisition. The upcoming special meeting is poised to be a critical juncture that could cement or reshape the destiny of Core Scientific within the competitive AI landscape.

As the date approaches, attention will surely mount around the strategies of all involved parties, and the decisions made could very well define the future trajectory of both Core Scientific and its operations in the AI market.

Conclusion

There are significant developments underway, and all eyes are now on the shareholders' response. By rejecting the CoreWeave acquisition, they could steer Core Scientific toward a path of remarkable growth, unlocking future opportunities in an industry poised for transformation.

Two Seas Capital remains optimistic and is urging their fellow investors to adopt a forward-thinking approach, one that aims for excellence and uncompromised potential in Core Scientific’s promising future.