SpaceX Seeks $40B Debt to Fund Nvidia Chip Purchases
SPCX sits 60% above its 52-week low of $104.83.
Summary
SpaceX is reportedly seeking $40 billion in financing to fund purchases of Nvidia chips, according to the Financial Times. The plan involves about $10 billion in bank loans and $30 billion in investment-grade debt, with Apollo Global Management expected to lead the financing and Pimco among lenders in talks. The proposed deal could close in 2027. SpaceX's five-year CDS spread has widened to 194 basis points from about 110 in June, and its 2056 bond yield spread widened to 2.36 percentage points over Treasuries from 1.75. This is a massive capital raise that would significantly increase the company's leverage and could pressure its stock as investors weigh dilution and debt service costs. The news also has broader market implications: analysts note that large-scale corporate borrowing could compete with long-dated US Treasuries for investor capital, contributing to the recent bond selloff. SpaceX's market cap has already collapsed from over $2 trillion in June to about $1.6 trillion, and this financing plan adds another layer of risk. The company's Q2 report showed $18.4 billion in capex, so this chip order represents a major acceleration of its AI infrastructure buildout. SpaceXAI will deploy Vera CPUs for agentic AI workloads, expand Grok infrastructure on Vera Rubin platform toward gigawatts of computing capacity, and use an optimized Vera Rubin system aboard its first-generation Starmind AI satellite.
Updated with a Benzinga report · What changed
Updates
· Benzinga — SpaceX's five-year CDS spread widened to 194 basis points from about 110 in June, and its 2056 bond yield spread widened to 2.36 percentage points over Treasuries from 1.75.
- Financing — Apollo Global Management is expected to lead the financing, Pimco is among lenders in talks, and the proposed $40 billion deal could close in 2027.
- AI Infrastructure — SpaceXAI will deploy Vera CPUs for agentic AI workloads, expand Grok infrastructure on Vera Rubin platform toward gigawatts of computing capacity, and use an optimized Vera Rubin system aboard its first-generation Starmind AI satellite.
All 6 details
- Apollo Global Management is expected to lead the financing.
- Pimco is among lenders in talks for the financing.
- The proposed $40 billion deal could close in 2027.
- SpaceXAI will deploy Vera CPUs for agentic AI workloads.
- SpaceX will expand Grok infrastructure on Vera Rubin platform toward gigawatts of computing capacity.
- SpaceX will use an optimized Vera Rubin system aboard its first-generation Starmind AI satellite.
At the time of this announcement, SPCX was trading at $167.70 on NASDAQ in the Technology sector, with a market capitalization of approximately $2.3T. The 52-week trading range was $104.83 to $225.64. This news item was assessed with negative market sentiment and an importance score of 8 out of 10. Source: Reuters.