TechFlow News, June 24: SpaceX issued $2.5 billion in investment-grade bonds on Tuesday, marking the final step in replacing its high-cost debt. This high-cost debt had previously funded Elon Musk’s 2022 acquisition of X (formerly Twitter) and last year’s loans and bonds issued by the artificial intelligence lab xAI to offset its rapid cash burn. Had these entities not been merged into SpaceX, they would have incurred approximately $1.8 billion in annual interest expenses this year on a combined $17.5 billion in debt. Now, the consolidated SpaceX will bear roughly $1.5 billion in annual interest costs through this inaugural $2.5 billion bond issuance. (Jinshi)
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