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Artificial intelligence powerhouse CoreWeave Inc. has unveiled plans for a $2.5 billion initial public offering, setting the stage for what could be the largest IPO of 2025. The New Jersey-based firm, represented by Fenwick & West LLP, with Latham & Watkins LLP advising underwriters, aims to capitalize on surging demand for AI-driven cloud computing.

CoreWeave’s IPO Blueprint

CoreWeave intends to offer 49 million Class A shares, pricing them between $47 and $55 each, which would raise $2.5 billion at the midpoint. Of those, 47.2 million shares will be directly offered by CoreWeave, with the remaining 1.8 million shares sold by existing shareholders. The proceeds will fund product development, loan repayments, and other corporate growth initiatives.

Breaking Records in 2025

If successful, CoreWeave’s listing will dwarf this year’s previous high-water mark—Venture Global Inc.’s $1.8 billion IPO in January. The AI firm’s post-IPO valuation could exceed $24 billion, based on 473.5 million outstanding shares listed in its SEC filing. Shares are slated to debut on Nasdaq under the ticker symbol "CRWV" during the week of March 24.

Testing Investor Appetite for AI Stocks

With AI-focused public listings gaining momentum, CoreWeave’s IPO will be a crucial litmus test for companies like Cerebras Systems Inc., which filed last September but has yet to move forward. The offering also comes at a time of heightened stock market volatility, which could shape investor sentiment and impact IPO performance across industries.

The Evolution of CoreWeave

Founded in 2017 as a crypto mining startup, CoreWeave pivoted to AI-driven cloud services in 2022, leveraging the explosion of machine learning models such as ChatGPT. Today, the company specializes in AI-powered graphics processing units (GPUs) designed to accelerate computing workloads for major clients, including Microsoft Corp. and Nvidia Corp., the latter also an investor.

The Revenue Surge—But No Profits Yet

While still operating at a loss, CoreWeave’s revenue has skyrocketed. The company reported $1.9 billion in revenue for 2024, a staggering leap from $288.9 million in 2023. However, the filing revealed a heavy reliance on Microsoft, which accounted for 62% of total revenue last year—an indicator of both growth potential and risk.

A Precursor to the IPO

This high-profile offering comes on the heels of CoreWeave’s $650 million secondary share sale in November 2024, a move that allowed early investors to cash out some equity. At the time, the company was valued at approximately $23 billion.

Power and Control in CoreWeave’s Dual-Class Structure

The IPO will introduce a dual-class stock structure, granting public investors one vote per share, while preserving a powerful Class B stock for existing shareholders, carrying 10 votes per share. As a result, CEO Michael Intrator will control 38% of voting power post-IPO, cementing his influence over the company’s future.

The Financial Giants Behind the Offering

CoreWeave has attracted a roster of heavyweight investors, including Magnetar Capital, Jane Street, and Fidelity Management & Research Co.

Meanwhile, leading investment banks are steering the offering:

• Morgan Stanley & Co. LLC
• J.P. Morgan Securities LLC
• Goldman Sachs & Co. LLC

The Legal Architects

A formidable legal lineup is shaping CoreWeave’s Wall Street debut:

• Fenwick & West LLP is guiding CoreWeave, led by partners Michael Brown, Ran Ben-Tzur, Jennifer Hitchcock, Chance Goldberg, and Aman Singh.
• Latham & Watkins LLP is representing the underwriters, with a team spearheaded by Rick Kline, Keith L. Halverstam, Salvatore Vanchieri, and Erica Kassman.

As the countdown to CoreWeave’s IPO continues, the AI sector watches closely, eager to see whether this bold move cements CoreWeave as a dominant force in the future of artificial intelligence.