Goldman and Apollo Seek Investors for SpaceX’s $40 Billion AI Chip Financing Deal

Goldman Sachs and Apollo Global Management are approaching Wall Street investors to distribute portions of a roughly $40 billion financing arrangement for SpaceX’s AI chips and server equipment, according to a Bloomberg report published November 4. Some potential investors have been asked to consider commitments of as much as $500 million before a formal syndication process begins. The arrangement is intended to fund Nvidia hardware that SpaceX will lease for its expanding artificial-intelligence computing business.

Reuters reported Bloomberg’s account but said it could not independently verify the latest details. Goldman Sachs declined to comment, while Apollo and SpaceX did not immediately respond to requests for comment. The arrangement is not a conventional corporate bond issued directly by SpaceX. Instead, an Apollo-backed special-purpose vehicle is expected to purchase the equipment and arrange the financing, with the structure designed to keep the related obligations off SpaceX’s balance sheet.

The financing includes loans and multiple bond tranches

Bloomberg reported that the package includes an $8.3 billion senior-secured loan and several bond tranches intended for asset managers. Goldman is leading the loan portion, while Apollo is the main investor in the bond portion. Pacific Investment Management Co. is also participating in the broader financing.

Some investors are being asked to purchase stakes of up to $500 million before the formal syndication process starts. The special-purpose vehicle, managed by Apollo-backed Atlas SP, will buy Nvidia chips and server hardware and then lease the equipment to SpaceX.

Bloomberg previously reported that the overall arrangement includes a lease prepayment of about $7 billion and is intended to finance equipment worth roughly $47.3 billion. The hardware is expected to be delivered in the first half of 2027. The financing is part of SpaceX’s effort to secure the computing capacity needed to expand its AI operations.

The lease structure separates equipment value from SpaceX credit

Documents reviewed by Bloomberg describe a lease term of slightly more than five years after equipment delivery. SpaceX’s obligation to pay rent is described as absolute. The documents say rent remains due even if the equipment is damaged or a force majeure event occurs. SpaceX is also not providing a residual-value guarantee for the hardware.

That structure gives investors greater exposure to SpaceX’s ability to meet its lease obligations rather than relying on the resale value of the chips at the end of the contract. It also raises questions about how the equipment’s value will change as Nvidia introduces newer generations of accelerators and AI computing economics evolve.

The use of a special-purpose vehicle is intended to keep the financing away from SpaceX’s own balance sheet and protect its investment-grade credit ratings. For investors, the arrangement offers exposure to a large AI infrastructure project but involves complex legal, credit and equipment-value risks. The final documents will determine how those risks are allocated.

AI infrastructure funding faces a more cautious market

SpaceX is expanding its AI computing operations and needs large quantities of Nvidia GPUs, servers and data-center equipment. Bloomberg reported in October that the company had sought about $40 billion in financing to buy chips. On October 26, Bloomberg said SpaceX had agreed to an equipment-financing lease with Apollo. The latest effort by Goldman and Apollo to find outside investors shows how the firms are seeking to distribute the financing through banks and asset managers.

The broader AI infrastructure market is also facing questions about whether spending will generate sufficient returns. Data centers require large amounts of electricity, land and cooling capacity, while GPU technology can become outdated quickly. If revenue from AI services does not grow fast enough to cover computing and lease costs, SpaceX and its financing investors could face pressure.

Bloomberg previously reported that market volatility had raised borrowing costs across the AI sector and complicated pricing discussions for the SpaceX financing. That makes the ability to distribute the package to outside investors an important step toward completing the transaction.

The syndication is not yet complete

The confirmed background is that SpaceX announced an approximately $40 billion equipment-financing arrangement in October, and Bloomberg reported on November 4 that Goldman Sachs and Apollo were seeking investors to take portions of the financing. Some investors were reportedly asked to consider commitments of up to $500 million, and the package includes an $8.3 billion senior-secured loan.

But Reuters said it could not independently verify Bloomberg’s latest report. The firms have not confirmed the syndication timetable, final interest rates, investor list or the amount already committed. Whether the financing will close on the reported terms, how much it will cost SpaceX and whether the company’s AI business can generate enough revenue to cover the lease payments remain open questions.