- SpaceX, one of Tesla CEO Elon Musk’s major business ventures, tapped the risky leveraged loan market.
- The $ 250 million deal received a mixed reception from investors given SpaceX’s cash burning history.
- The company previously relied on private equity funding but now follows Tesla in tapping debt markets.
Elon Musk is loving high yield debt.
SpaceX took a leveraged loan worth $ 250 million on Monday, having initially sought to borrow as much as $ 750 million, according to numerous reports. The smaller loan was taken as a result of deteriorating credit conditions during the fundraising period.See the rest of the story at Business Insider
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See Also:
- All the TV shows that have been canceled recently
- The IMF just became the latest to warn about the $ 1.3 trillion ‘leveraged loan’ market
- An often overlooked Fed report shows that the risky leveraged loan market isn’t going away anytime soon
