Whereas the net feud between Elon Musk and President Donald Trump appeared to drive visitors to Musk’s social media platform X (previously Twitter), it may additionally create points for the platform’s mum or dad firm xAI.
Musk merged X and xAI earlier this 12 months, with Bloomberg reporting this week that he was seeking to elevate $5 billion in debt (in addition to a reported $300 million in a secondary sale) to fund the mixed firm.
That’s led to some awkward moments as Musk’s relationship together with his former ally Trump appeared to disintegrate. In reality, The Wall Road Journal experiences that on Thursday afternoon, Morgan Stanley had gathered xAI executives to pitch potential buyers as Musk and Trump had been posting angrily about one another on their respective social networks.
Morgan Stanley had reportedly hoped to promote the debt at round 100 cents on the greenback, however a dealer instructed the WSJ it was buying and selling at 95 cents on the greenback at occasions on Thursday. Buyers additionally reportedly mentioned that as a result of declining costs, Morgan Stanley may have to supply extra incentives, equivalent to an elevated rate of interest.