SpaceX, led by Elon Musk, is heading to the bond market for the first time, only days after completing its latest private share sale. The company raised $85.7 billion in that offering, became one of the world’s most valuable firms, and is now using the momentum to restructure its balance sheet.
The move comes as SpaceX’s cash reserves have swelled past $100 billion, reaching $100.8 billion, even as spending accelerates sharply. Investors reacted negatively, with the stock falling 9% and extending its losing streak to three straight trading sessions.
The new debt sale is meant to replace short-term bridge financing with longer-term borrowing, helping fund SpaceX’s expensive expansion plans in artificial intelligence and next-generation rocket development. The company’s concentrated ownership structure remains intact, with Musk holding 82% of the voting power.
Analysts say the choice of debt rather than more equity is designed mainly to protect existing shareholders. SpaceX’s heavy investments in AI infrastructure and its Starship program continue to weigh on profitability, even though Starlink is growing strongly. Revenue rose 33% last year to $18.67 billion, but the company still posted a net loss because of steep spending and the merger process involving xAI, Musk’s private AI venture. SpaceX has not disclosed the size or pricing terms of the bond offering, but said the proceeds will go to general corporate purposes, repayment of bridge-loan obligations, and related fees and expenses. As of the end of March, it held $15.9 billion in cash and cash equivalents.
