Core Scientific's restructuring plan has been approved by the U.S. bankruptcy court and is set to relist on Nasdaq by the end of January 2024

ChainCatcher news, according to Businesswire, Bitcoin mining company Core Scientific stated that the U.S. Bankruptcy Court for the Southern District of Texas has approved the company's Chapter 11 reorganization plan, and Core Scientific will relist on Nasdaq by the end of January 2024.

Under the terms of the plan, shareholders (as of the expected record date of January 23, 2024) will receive new common stock and warrants of the company, representing approximately 60% of the company's new equity. Assuming all applicable warrants are exercised for cash and the cash is used to pay off debts, the company's existing debt will be fully repaid, reducing the debt balance by approximately $1 billion compared to the balance prior to the plan. Shortly after the plan was approved, the company announced that it had fully repaid its DIP financing and successfully completed an oversubscribed $55 million equity issuance.