SpaceX plans $40 bln raise for Nvidia AI chips

SpaceX (SPCX) is seeking to raise about $40 billion in financing to purchase Nvidia (NVDA) artificial-intelligence chips, in what would be one of the largest corporate funding packages tied to AI hardware. The plan centers on securing capital specifically for chip purchases that would underpin the company’s AI computing operations and data-center expansion.

The reported transaction is designed around a large, dedicated chip order rather than general corporate purposes. The AI hardware is intended to support SpaceX’s (SPCX) computing needs and related infrastructure described in coverage as including xAI/Colossus data-center projects.

The proposed financing would consist of roughly $10 billion in bank loans combined with about $30 billion in investment-grade debt. This mix would give SpaceX access to both bank lending and public or institutional bond markets to fund the Nvidia (NVDA) chip purchase.

Investment-grade debt would represent the bulk of the package, accounting for around three quarters of the total. The remaining portion would come from bank loans, reflecting the involvement of a select group of lenders now in discussions to participate in the deal.

Apollo Global Management (APO) is expected to lead the financing effort and assist in placing the investment-grade debt with investors. This role includes structuring the bond component and coordinating with potential buyers across credit markets.

Pimco is reported to be among a small group of lenders in talks to provide financing, highlighting interest from large institutional fixed-income investors. Discussions center on contributing to the bank loan segment and potentially taking allocations of the debt instruments tied to the chip purchase.

The transaction is reported to be expected to close in 2027, giving SpaceX a multiyear window to organize funding and align chip deliveries with its infrastructure buildout. The extended timeline underscores the scale and planning required for large AI computing deployments.

The Nvidia chips funded through this package are intended for SpaceX’s AI computing operations and data-center buildout, including infrastructure referenced as xAI/Colossus. These facilities are meant to provide the processing capacity required for advanced AI workloads and related services.

Reports state that SpaceX, Apollo, Nvidia and Pimco did not immediately respond to requests for comment, or in some cases declined to comment on the financing discussions. As a result, details currently available come from reporting on the structure, size and intended use of the proposed package.

With formal remarks from the companies limited, the information in circulation focuses on the targeted $40 billion amount, the composition between bank loans and investment-grade debt, the leadership role of Apollo, and the involvement of Pimco and other lenders now in talks.