Will Musk vs. Trump affect xAI’s $5 billion debt deal?
Although the online feud between Elon Musk and President Donald Trump seemed to send traffic to Musk’s social media platform X (formerly Twitter), it could also cause problems for the parent company Xai of the platform.
Musk merged X and Xai earlier this year, with Bloomberg reports this week That he was looking for $ 5 billion in debts (as well as a reported $ 300 million in a secondary sale) to finance the combined company.
This has led to a number of uncomfortable moments, because Musk’s relationship with his former ally Trump seemed to fall apart. In reality, The Wall Street Journal Reports That Morgan Stanley Xai managers had collected on Thursday afternoon to pitch potential investors while Musk and Trump posted angry about each other on their respective social networks.
Morgan Stanley had reportedly hoped to sell the debt at about 100 cents on the dollar, but a trader told the WSJ that it was traded on the dollar on Thursday on the dollar. Investors have also said that Morgan Stanley may have to offer extra incentives due to falling prices, such as increased interest.
