{"id":439581,"date":"2026-10-07T07:51:26","date_gmt":"2026-10-07T00:51:26","guid":{"rendered":"https:\/\/www.swingfish.trade\/blog\/market-news\/spacex-seeks-40-billion-in-debt-led-by-apollo-to-fund-nvidia-chip-order-ft-says-439581\/"},"modified":"2026-10-07T07:51:26","modified_gmt":"2026-10-07T00:51:26","slug":"spacex-seeks-40-billion-in-debt-led-by-apollo-to-fund-nvidia-chip-order-ft-says","status":"publish","type":"post","link":"https:\/\/www.swingfish.trade\/blog\/market-news\/spacex-seeks-40-billion-in-debt-led-by-apollo-to-fund-nvidia-chip-order-ft-says-439581\/","title":{"rendered":"SpaceX seeks $40 billion in debt led by Apollo to fund Nvidia chip order, FT says"},"content":{"rendered":"<div>\n<p dir=\"ltr\">The deal underlines a theme running through bond markets this week: AI is now a major source of corporate debt supply. <a href=\"https:\/\/investinglive.com\/stocks\/goldman-sachs-sees-five-drivers-behind-us-rates-selloff-says-move-may-be-overdone\/\" rel=\"follow\">Goldman Sachs <\/a>cited AI-related corporate issuance as one of the forces pushing US Treasury yields higher, and a $30 billion investment-grade offering from a single borrower would add to that competition for investor cash. For Nvidia, a large debt-financed order from a customer committed to using its hardware exclusively supports the demand outlook, although the muted share reaction suggests much of that is already priced in. The bigger question for credit markets is appetite. With Morgan Stanley warning of rising caution among lenders, the pricing and take-up of this deal will be a useful test of how much more AI borrowing investors can absorb.<\/p>\n<p dir=\"ltr\">&#8212;<\/p>\n<p dir=\"ltr\"> SpaceX wants to borrow $40 billion to buy Nvidia chips, a reminder that the AI boom is increasingly being built on debt.<\/p>\n<p dir=\"ltr\">Summary:<\/p>\n<ul dir=\"ltr\">\n<li>SpaceX plans to raise $40 billion to buy Nvidia AI chips, with Apollo Global Management expected to lead the financing, the Financial Times reported<\/li>\n<li>The package would include about $10 billion in bank loans and $30 billion in investment-grade debt, with Pimco among lenders in talks<\/li>\n<li>The deal is expected to close in 2027<\/li>\n<li>SpaceX shares fell about 1% in extended trading after the report, while Nvidia rose about 0.5%<\/li>\n<li>Morgan Stanley estimates AI infrastructure will need $1.5 trillion in external financing by 2028<\/li>\n<\/ul>\n<p dir=\"ltr\">SpaceX is seeking to raise $40 billion to buy Nvidia artificial intelligence chips (more on NVDA <a href=\"https:\/\/investinglive.com\/stock-market-update\/nvidia-hits-record-high-near-6-trillion-yet-still-trails-the-chip-sector-s-2026-rally\/\" rel=\"follow\">here<\/a>, and <a href=\"https:\/\/investinglive.com\/stock-market-update\/nvidia-nears-6-trillion-as-bonds-flash-warnings-deutsche-bank-says-the-gap-cannot-last\/\" rel=\"follow\">here<\/a>) in a financing led by Apollo Global Management, the Financial Times (gated, but some info is <a href=\"https:\/\/www.reuters.com\/business\/media-telecom\/spacex-seeks-40-billion-buy-nvidia-chips-ft-reports-2026-10-06\/\" rel=\"follow\">here<\/a>) reported on Tuesday, citing people familiar with the matter.<\/p>\n<p dir=\"ltr\">The Elon Musk-led company plans to raise about $10 billion through bank loans and $30 billion in investment-grade debt to fund the order, according to the report. Apollo is expected to lead the deal and help place the debt with a broad range of investors. Bond manager Pimco is among a small group of lenders in talks to provide financing, and the transaction is expected to close in 2027.<\/p>\n<p dir=\"ltr\">SpaceX shares fell about 1% in extended trading after the report, while Nvidia gained about 0.5%. SpaceX, Apollo and Nvidia did not immediately respond to requests for comment, and Pimco declined to comment, Reuters reported.<\/p>\n<p dir=\"ltr\">The chips are intended for SpaceX&#8217;s AI computing operations. The company absorbed Musk&#8217;s xAI before going public in June in a record initial public offering of around $86 billion, and it runs the Grok AI model through its Colossus data centers. Musk has said SpaceX will use Nvidia hardware exclusively in those facilities and said last month that the Colossus 2 data center could more than double its Nvidia chip count by December. SpaceX also rents out Colossus computing capacity to other AI developers, mainly Anthropic and Alphabet&#8217;s Google.<\/p>\n<p dir=\"ltr\">The planned fundraising shows the scale of capital the AI boom now requires. Morgan Stanley estimates AI infrastructure will need $1.5 trillion in external financing by 2028, even as lenders and investors grow more cautious about funding the expansion. Nvidia itself partnered in August with Apollo, BlackRock, Blackstone, Brookfield, Goldman Sachs and KKR on financing platforms aimed at mobilising more than $500 billion for AI infrastructure.<\/p>\n<p dir=\"ltr\">The deal also arrives as bond markets grapple with heavy supply. Rising corporate borrowing to fund AI investment has been cited by Goldman Sachs as one factor behind the recent jump in US Treasury yields, meaning large issues such as this one are being watched for their impact well beyond the technology sector.<\/p>\n<p dir=\"ltr\">\n<p>                            This article was written by Eamonn Sheridan at investinglive.com.<\/p><\/div>\n","protected":false},"excerpt":{"rendered":"<p>The deal underlines a theme running through bond markets this week: AI is now a major source of corporate debt supply. Goldman Sachs cited AI-related corporate issuance as one of the forces&hellip;<\/p>\n","protected":false},"author":216,"featured_media":0,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[86],"tags":[],"class_list":["post-439581","post","type-post","status-publish","format-standard","hentry","category-market-news"],"_links":{"self":[{"href":"https:\/\/www.swingfish.trade\/blog\/wp-json\/wp\/v2\/posts\/439581","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.swingfish.trade\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.swingfish.trade\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.swingfish.trade\/blog\/wp-json\/wp\/v2\/users\/216"}],"replies":[{"embeddable":true,"href":"https:\/\/www.swingfish.trade\/blog\/wp-json\/wp\/v2\/comments?post=439581"}],"version-history":[{"count":0,"href":"https:\/\/www.swingfish.trade\/blog\/wp-json\/wp\/v2\/posts\/439581\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.swingfish.trade\/blog\/wp-json\/wp\/v2\/media?parent=439581"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.swingfish.trade\/blog\/wp-json\/wp\/v2\/categories?post=439581"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.swingfish.trade\/blog\/wp-json\/wp\/v2\/tags?post=439581"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}