Elon Musk’s xAI Taps Morgan Stanley for $5B Debt Deal
Elon Musk xAI loans have become a major talking point right now as the AI company aims at securing $5 billion in debt financing through Morgan Stanley, and this comes despite ongoing Trump feud impact that’s been affecting market confidence. The Morgan Stanley loans structure also reflects growing regulatory uncertainty in today’s volatile business environment. Also Read: Elon Musk’s XChat Encryption Slammed Amid $300M XAI Stock Sale Elon Musk’s xAI Raises $5B Loans Amid Regulatory Risks and Market Volatility Source: The Hill The Elon Musk xAI loans package includes a floating-rate term loan B that’s been priced at 97 cents on the dollar with a 700 basis point spread over SOFR, and there’s also an alternative option available. Morgan Stanley loans are being structured as a “best efforts” deal, with an alternative hybrid option that’s offering a 12% fixed coupon rate. Source: newyorkfed.org One insider had this to say: “What has shif...