SpaceX raises $25 billion in bonds amid strong demand and rating debate

SpaceX completed a $25 billion senior unsecured bond sale, expanding the original $20 billion target after investor orders reached roughly $90 billion. The issuance consists of five tranches maturing between 2031 and 2056, with coupon rates ranging from 5.35 % for short‑term pieces to 6.65 % for longer‑term debt. Proceeds will first be used to refinance existing bridge loans and then for general corporate purposes, including development of reusable rockets, the Starlink satellite network and AI‑related projects.

Credit‑rating agencies assigned investment‑grade ratings to the bonds—Moody’s Baa1, S&P BBB and Fitch BBB+—prompting criticism because SpaceX reports ongoing cash‑flow deficits and a projected surge in debt. Analysts note the rating is justified by SpaceX’s dominant position in the launch market, delivering over 80 % of global orbital launch mass, and the growing Starlink subscriber base of about 12 million. Despite the financing success, SpaceX’s post‑IPO stock price has lingered below the offering level, and Elon Musk’s net worth has modestly declined.