SpaceX is placing a $40 billion loan: rates of about 7.75% and 8.3%, more than a percentage point above the yield on its current bonds
Prepared by Sintelligent with the help of SI. Published in SI: . Updated: .
Building data centers on debt is getting more expensive: even SpaceX will have to pay noticeably more than on its current bonds.
According to Semafor, citing people familiar with the matter, the deal is being arranged by Apollo and Goldman Sachs: the least secure part of the debt could carry a rate of about 8.3%, while the part backed by SpaceX's chips would be about 7.75% and is to be placed next week. Semafor links the higher cost to the credit market for SI having contracted noticeably in recent weeks: SpaceX's existing bonds have fallen amid huge spending plans, the debt load and the selloff in CoreWeave's debt, and default insurance has become more expensive. The money is needed to expand in chips and data centers. Prices may change by the time the deal closes; Apollo and Goldman declined to comment.
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