Morgan Stanley expands its investor base to boost demand for $5 billion debt financing for xAI.

AltcoinSniper · 2025-06-10T07:35:07+00:00

Morgan Stanley is pushing for a $5 billion debt issuance for Elon Musk's AI startup xAICorp. Despite strong initial demand, it currently only reaches $5 billion, and Morgan Stanley has contacted smaller lending institutions to boost participation.

AltcoinSniper

2025-06-10 07:35:07

Abstract generation in progress

According to Bloomberg, Morgan Stanley is reaching out to a broader investor base to boost demand for a $5 billion debt issuance by Elon Musk’s artificial intelligence startup xAICorp. The deal also sheds light on the impact of the conflict between Musk and US President Donald Trump. Morgan Stanley had already received more than $3.5 billion in subscription orders when it launched the debt offering early last week, according to people familiar with the matter. Some investors see this as a sign that the deal will soon be oversubscribed — a goal that has usually been easily achieved in previous Musk-related financings. However, as of Monday, demand had only risen to about $5 billion, so Morgan Stanley began reaching out to some small lenders that had not been approved to participate last week.

XAI-1,31%

View Original

This page may contain third-party content, which is provided for information purposes only (not representations/warranties) and should not be considered as an endorsement of its views by Gate, nor as financial or professional advice. See Disclaimer for details.

7 Likes