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Nvidia-Backed CoreWeave Scales Back U.S. IPO Amid Market Uncertainty
March 28, 2025 CoreWeave, an online computing company that is supported by Nvidia, has reduced its U.S. initial open market (IPO) in a bid to reflect the more cautious investors’ attitudes towards AI infrastructure companies. Initially, the company was hoping to raise $2.7 billion; however, the company has changed its goals, reducing the number of shares offered and pricing in light of market uncertainty.
CoreWeave initially had plans to sell 49 million shares for sale at an average price of $47 to $55 a share. However, the company has changed its offering and reduced its share count to 37.5 million, priced at $40 per share, with the aim of raising $1.5 billion and valuing the company at around $23 billion. This shift is in response to the growing interest of investors in AI-driven companies, specifically ones with significant debts that are not yet in the position to achieve profitability.
Despite these changes, CoreWeave remains a significant participant within the AI and cloud computing market and recently announced a $11.9 billion agreement together with OpenAI. The firm is focused on offering high-performance cloud computing solutions that are designed to handle the demands of artificial intelligence. It is an area where the demand for AI is increasing.
Large financial institutions, like Morgan Stanley and J.P. Morgan as well as Goldman Sachs, are leading the IPO process. CoreWeave’s stock will launch on Nasdaq using the symbol “CRWV.”
This shift emphasizes the constant issues and opportunities that exist within the AI cloud sector as companies deal with the changing market conditions and investor expectations.
For more information about CoreWeave’s IPO and the most recent developments regarding AI as well as cloud computing, be sure to stay tuned to the latest news from industry sources as well as financial reports.
