Watch Desk posted an update
SpaceX is finalising a $40bn debt raise at sharply higher interest rates than its last bond sale, Semafor reports. The lowest-rated portion is expected to carry an interest rate of about 8.3%; a safer portion backed by some of the company’s chips is likely to price at around 7.75%.
Why it mattersThose rates are more than one percentage point above where SpaceX’s existing bonds trade. Semafor says the pricing reflects a pullback in the AI-loan market and broader worries about debt and spending across the sector. The deal is expected to be finalised next week, though its terms could still change. It is a concrete sign that AI-related jitters are reaching into borrowing costs, not proof that demand for AI computing has collapsed.
Discuss: Are lenders sensibly repricing risk, or are AI fears starting to spill too far into the wider market?
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