CoreWeave, a firm focused on artificial intelligence, successfully raised $1.5 billion for its IPO, giving the company a valuation of around $23 billion, according to a report by Bloomberg on Thursday night. This confirmed earlier reports that the company had reduced the size of its IPO.
During the IPO, the cloud provider sold 37.5 million shares at $40 each, a decrease from the initial plan of selling 49 million shares at $47 to $55 each. The company faced challenges due to a weaker-than-expected stock market.
Initially aiming to raise $4 billion at a $35 billion valuation, CoreWeave reported $1.9 billion in revenue last year but still experienced a net loss of nearly $900 million.
Nvidia, a major investor in CoreWeave, played a significant role in the IPO with a $250 million order, as reported by Bloomberg from a source familiar with the situation.
CoreWeave has strong ties to bitcoin miner CoreScientific, which entered into a multi-billion deal with the company based in New Jersey to enhance its artificial intelligence capabilities.
Reported by The Information late Thursday, Nvidia’s stock price has dropped by 12% since the beginning of the year, reflecting a general decline in AI-focused companies.
UPDATE (March 28, 2025, 00:20 UTC): Provides additional details.
