SCHEDULE: Situational Awareness Takes 5.8% Stake in Core Scientific

Situational Awareness LP and its affiliates have disclosed a 5.8% beneficial ownership stake in Core Scientific, Inc., citing a belief that the stock was undervalued.

Summary

• Situational Awareness LP, along with its affiliates SAF AI GP LP, Situational Awareness LLC, Situational Awareness Partners LP, Leopold Aschenbrenner, and Carl Shulman, collectively reported beneficial ownership of 17,682,918 shares of Core Scientific, Inc. Common Stock.
• This ownership represents 5.8% of Core Scientific's outstanding Common Stock, calculated based on 305,408,442 shares outstanding as of August 5, 2025.
• The reporting persons acquired these shares for investment purposes, believing the Common Stock was undervalued and presented an attractive investment opportunity.
• The total amount of funds used by Situational Awareness Partners LP (the Fund) to purchase the Issuer's Common Stock was $213,190,431.12.
• Transactions in the 60 days preceding the filing date include multiple purchases by the Fund between July 18, 2025, and August 13, 2025, with prices ranging from $13.189 to $14.9047 per share.

Sentiment

Score: 7

Explanation: The filing indicates a significant investment by an institutional entity based on a belief of undervaluation, coupled with a stated intent to potentially engage with management. This suggests a positive outlook and potential for value creation for shareholders.

Positives

• The reporting persons acquired the shares based on their belief that Core Scientific's Common Stock was undervalued, suggesting potential for future appreciation.
• The investment group may recommend actions to Core Scientific's management, board of directors, and stockholders, potentially leading to strategic changes that could enhance shareholder value.
• The significant stake taken by an investment firm can signal confidence in the company's long-term prospects and attract further investor interest.

Future Outlook

The reporting persons intend to routinely monitor Core Scientific regarding various factors, including trading prices, operations, financial position, and strategic matters. They may purchase additional shares, sell existing holdings, or engage in hedging transactions. They also reserve the right to communicate with other stockholders and recommend actions to Core Scientific's management and board, potentially involving significant corporate events such as mergers, asset sales, or changes in capitalization.

Industry Context

Core Scientific operates in the highly dynamic and capital-intensive cryptocurrency mining and data center industry. A significant investment by an external firm like Situational Awareness, particularly one citing undervaluation, could indicate a belief in the long-term viability and growth potential of the digital asset infrastructure sector, or a specific turnaround opportunity for Core Scientific within it.

Stakeholder Impact

• Shareholders may view this as a positive signal, potentially leading to increased investor confidence and upward pressure on the stock price due to the belief of undervaluation and potential for strategic engagement.
• Core Scientific's management and board may face increased scrutiny and potential pressure from the new significant shareholder regarding strategic direction and operational efficiency.

Next Steps

• Reporting persons will routinely monitor Core Scientific's performance and market conditions.
• Reporting persons may purchase additional Common Stock or sell existing holdings.
• Reporting persons may enter into or unwind hedging or other derivative transactions.
• Reporting persons may communicate with other stockholders, industry participants, and interested parties.
• Reporting persons may recommend actions to Core Scientific's management, board, and stockholders, potentially involving strategic corporate changes.

Key Dates

Recommendation

The filing reveals a substantial investment by an institutional firm, Situational Awareness LP, which explicitly states its belief that Core Scientific's stock was 'undervalued' at the time of purchase. This strong conviction, coupled with the firm's stated intent to actively monitor and potentially recommend strategic actions to management, suggests a potential catalyst for value realization. For a seasoned investor, this signals a potential opportunity to acquire shares at a discount, anticipating that the new significant shareholder's engagement could unlock hidden value or drive positive corporate changes.

Keywords

Core Scientific, Beneficial Ownership, Schedule 13D, Investment, Situational Awareness, Common Stock, Undervalued, Shareholder Activism, Cryptocurrency Mining, Data Center