NEW YORK - SpaceX is preparing to raise at least $20 billion in the bond market after executives concluded that launching reusable rockets, operating a global satellite constellation and planning the colonization of Mars did not expose the company to enough capital expenditure.
The planned debt sale would help refinance bridge financing tied to SpaceX's acquisition of xAI and support a major expansion into artificial intelligence, including data centers, computing hardware and power infrastructure.
Bankers said the transaction represents a rare opportunity for investors to finance several of humanity's most expensive ideas simultaneously.
"Previously you had to choose between lending money to a rocket company and lending money to an AI company," said a credit analyst. "This structure removes that inefficiency."
SpaceX recently entered public markets at a valuation above $2 trillion, giving investors exposure to rockets, satellites, Mars, artificial intelligence and the possibility that one corporation may eventually require its own sovereign debt market.
The bonds are expected to include conventional maturities on Earth, with a supplemental prospectus explaining how coupon payments will be handled after settlement on Mars.
Rating agencies assigned the deal a stable outlook, citing strong access to capital and the historical tendency of financial markets to become more comfortable whenever a number exceeds $1 trillion.
Musk reportedly asked whether the bonds could be launched physically. Bankers said that would be expensive. The project was immediately approved.
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