SpaceX Is Borrowing $20 Billion to Fund Its AI Ambitions. Is That a Bold Move or a Dangerous One?

When a company raises $86 billion in the largest IPO in history and then turns around five days later to borrow another $25 billion, one of two things is true: It has identified an opportunity so large that no amount of capital is enough, or it has taken on obligations it cannot fund from operations. With Space Exploration Technologies Corp (NASDAQ: SPCX), both are true simultaneously, and that tension is exactly what the last 10 days of share transactions have been processing.SpaceX's $25 billion bond offering, priced Tuesday in five tranches with maturities ranging from five to 30 years, is the company's first-ever investment-grade dollar bond issuance. The primary purpose of the raise is not to build new rockets. It is to refinance a $20 billion bridge loan that SpaceX took out in March, when it absorbed Elon Musk's X and xAI in an all-stock deal -- and those companies' combined $17.5 billion in existing debt came along with them. Continue readingWeiter zum vollständigen Artikel bei MotleyFool Weiter zum vollständigen Artikel bei MotleyFool