After Merging SpaceX with xAI, Musk Plans Refinancing to Alleviate High-Interest Debt Burden

According to sources, after the completion of the SpaceX-xAI merger, Musk’s banking team is exploring a potential refinancing plan. The move aims to reduce the high interest costs accumulated in recent years and pave the way for a possible IPO later this year.

Debt Approaching $18 Billion

Insiders revealed that during the acquisition of social media platform X (formerly Twitter) and the establishment of AI firm xAI, Musk has amassed nearly $18 billion in debt.

• This level of debt has created significant financial pressure.
• High interest expenses have prompted the team to seek a more optimized financing structure.

Refinancing to Facilitate IPO

Although the exact financing details have not been finalized, the new plan is expected to significantly reduce debt costs ahead of the IPO.

• This move could enhance company valuation and investor appeal.
• It would also lay the groundwork for future capital market activities.