Key insights
- SpaceX is reportedly seeking to raise $40 billion to purchase Nvidia chips, with Apollo Global Management leading the financing effort. The funds would be raised through bank loans and investment-grade debt, with Pimco in talks to finance the transaction. The deal is expected to close in 2027. This significant order highlights strong demand for Nvidia's advanced semiconductor technology.
Oct 6 (Reuters) - SpaceX is seeking to raise $40 billion in a financing effort led by asset manager Apollo Global Management to purchase Nvidia chips, the Financial Times reported on Tuesday, citing people familiar with the matter.
The Elon Musk-led company is seeking to raise about $10 billion in bank loans and $30 billion in investment-grade debt to fund its chip order, the report said.
Apollo is expected to lead the deal and help sell the debt to a broad range of investors, with bond fund Pimco among lenders in talks to finance the transaction, FT reported.
The transaction is expected to close in 2027, according to the report.
SpaceX, Apollo, Nvidia, and Pimco did not immediately respond to Reuters requests for comment.
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