News
AI Expansion · Bond Offering · Debt Refinancing · SpaceX
SpaceX, led by Elon Musk, is reportedly preparing an investment-grade bond offering of at least $20 billion to refinance a temporary bridge loan of the same amount, which is due in September 2027.
This debt offering aims to fund the company's "ambitious and capital-intensive AI expansion," following its earlier acquisition of Musk's AI startup, xAI. Additionally, SpaceX's wholly-owned subsidiary X67, Inc.
recently agreed to merge with Cursor, an AI coding startup developed by Anysphere, Inc., in an all-stock deal valued at approximately $60 billion. The bond sale comes after SpaceX's recent IPO, which raised around $86 billion and propelled its market valuation to over $2 trillion.
Post-IPO, the stock initially surged 42 percent, reaching above $200, but then experienced a downward trend, closing Thursday's trading at $185.00, a 3.56 percent decrease. Bankers, including Bank of America, Citigroup, JPMorgan Chase, Goldman Sachs, and Morgan Stanley, are managing the bond offering, as reported by sources familiar with the matter.