SpaceX now seeking a $250 million loan, not $500 million
Capitalism in space: SpaceX has reduced the private loan it is seeking from $500 to $750 million down to $250 million.
Goldman Sachs Group Inc. was initially canvassing investors for a $500 million deal for SpaceX. During marketing of the loan, Musk changed advisers and chose Bank of America to officially launch the deal to investors at $750 million.
The switch surprised bankers and investors, as Goldman is widely viewed as the Wall Street firm closest to Musk. It helped take Tesla Inc. public in 2010, led its $1.8 billion bond sale last year and advised Musk on his short-lived attempt to take the electric carmaker private for $420 a share Goldman balked when SpaceX, a first-time issuer, wanted wide latitude to raise additional debt in the future, people with knowledge of the matter said earlier this month.
The loan isn’t the only way Musk has been trying to raise cash with SpaceX, which was founded in 2002 and last valued at about $28 billion. He also recently inquired with at least one bank about a personal loan tied to his stake in the rocket company, a person with knowledge of the matter said earlier this month.
It seems to me that Musk is acting here in a manner that will allow him to maintain as much independence as possible, a very wise approach.
Capitalism in space: SpaceX has reduced the private loan it is seeking from $500 to $750 million down to $250 million.
Goldman Sachs Group Inc. was initially canvassing investors for a $500 million deal for SpaceX. During marketing of the loan, Musk changed advisers and chose Bank of America to officially launch the deal to investors at $750 million.
The switch surprised bankers and investors, as Goldman is widely viewed as the Wall Street firm closest to Musk. It helped take Tesla Inc. public in 2010, led its $1.8 billion bond sale last year and advised Musk on his short-lived attempt to take the electric carmaker private for $420 a share Goldman balked when SpaceX, a first-time issuer, wanted wide latitude to raise additional debt in the future, people with knowledge of the matter said earlier this month.
The loan isn’t the only way Musk has been trying to raise cash with SpaceX, which was founded in 2002 and last valued at about $28 billion. He also recently inquired with at least one bank about a personal loan tied to his stake in the rocket company, a person with knowledge of the matter said earlier this month.
It seems to me that Musk is acting here in a manner that will allow him to maintain as much independence as possible, a very wise approach.