xAI increases yield offer on $5 billion debt raise: Source
Elon Musk's xAI is increasing the yield it is offering on a $5 billion debt raise led by
Morgan Stanley
, a source with knowledge of the matter said on Friday.
xAI is offering to pay 12.5% yield on $3 billion in bonds, said the source who asked for anonymity to disclose non-public information. Previously, sources told Reuters the company offered a 12% yield.
The AI startup is also offering 12.5% fixed yield on a $1 billion term loan and set to price a $1 billion term loan B at 725 basis points over the Secured Overnight Financing Rate, known as SOFR. The term loan B is set to be priced at a discount of 96 cents on the dollar, the source said.
The deadline for investor commitments was extended from Tuesday to Friday and allocations will be done on Monday, the source said.
xAI and Morgan Stanley did not immediately comment on the matter.
Live Events
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Time of India
an hour ago
- Time of India
'Disturbing': Putin on World War III risk; flags concern over Israel-Iran conflict
Russian President Vladimir Putin (AP photo) Russian President Vladimir Putin on Friday said he was worried when asked whether he feared the world was moving towards a potential World War III, reported news agency Reuters. Speaking at an economic forum in St. Petersburg, Putin noted that global conflict risks were increasing. He pointed to Russia's own war in Ukraine and the ongoing tensions between Israel and Iran. Putin also raised concerns about developments around nuclear facilities in Iran, where Russian specialists are currently constructing two new nuclear reactors for Tehran. "It is disturbing. I am speaking without any irony, without any jokes. Of course, there is a lot of conflict potential, it is growing, and it is right under our noses, and it affects us directly," said Putin. He added, "And this requires, of course, not only our careful attention to the events taking place, but also the search for solutions, the search for solutions, preferably by peaceful means, in all directions." Putin also said that Russia plans to expand military and technical cooperation with "friendly countries" by jointly producing weapons and training military personnel. The Russian President said Moscow aimed to modernise its own armed forces by equipping them with the latest weapons and technology. by Taboola by Taboola Sponsored Links Sponsored Links Promoted Links Promoted Links You May Like Eat 1 Teaspoon Every Night, See What Happens A Week Later [Video] getfittoday Undo "We will harness new technology to improve the combat capabilities of the Russian armed forces, modernise military infrastructure facilities, (and) equip them with the latest technology and weapons and equipment," he said. Putin emphasised that Russia's cooperation with friendly nations would go beyond arms supplies or equipment upgrades. "At the same time, we intend to develop military-technical co-operation with friendly countries. And we are talking not only about supplies or the modernisation of equipment and weapons, but also about joint development, personnel training, and the creation of turn-key enterprises and production facilities," he said, according to Reuters. On the economic front, Putin said Russia planned to strengthen trade ties with its partners by removing barriers, opening new market opportunities, and deepening investment cooperation. Putin has already offered to mediate between Iran and Israel amid escalating tensions in the Middle East. He claimed that Moscow's longstanding ties with both countries make it uniquely positioned to help broker peace. 'We are not imposing anything on anyone; we are simply talking about how we see a possible way out of the situation,' he said. 'But the decision, of course, is up to the political leadership of all these countries, primarily Iran and Israel.' Putin acknowledged the complexity of the crisis, saying 'it's a delicate issue,' but said that a solution to the conflict is possible. 'In my view, a solution could be found," the Russian president said. His comments come at a time of growing concern that Israeli strikes on Iranian targets and the potential for a wider war could draw in other regional and global powers.
India Today
an hour ago
- India Today
Foxconn to build Nvidia AI servers using humanoid robots from next year: Report
Foxconn and Nvidia are reportedly planning to use humanoid robots to build Nvidia's next-generation AI servers at a new Foxconn facility in Houston, according to a Reuters report. This would mark the first time an Nvidia product is manufactured with the help of humanoid robots, and it could also be a first for Foxconn's AI server production lines. The use of robots on this scale signals a major shift in how factories might function in the near future, especially as more companies invest in automation and robotics to boost efficiency and reduce dependency on human labour for repetitive per sources, Foxconn and Nvidia are still finalising the deployment, which is expected to take shape in the coming months. If everything goes to plan, the humanoid robots will be introduced in the first quarter of 2026, when the Houston plant is scheduled to begin producing Nvidia's upcoming GB300 AI not yet confirmed how many robots will be deployed or what exact roles they'll perform. However, a company presentation from May suggests Foxconn has been training humanoid robots to do tasks like picking and placing objects, inserting cables, and handling basic assembly work — all of which are crucial functions on a server production line. Foxconn is reportedly working on its own humanoid robots in collaboration with Nvidia and has also tested models from China-based UBTech. That said, it's still unclear which specific type of robot will be used at the Houston site. One advantage the new factory has is space — being a fresh facility, it offers more room for robotic integration compared to Foxconn's older manufacturing Foxconn nor Nvidia have commented on the matter so far. The sources cited in the report declined to be named as they are not authorised to speak to the an event in Taipei last month, Leo Guo, general manager of the robotics division at Foxconn Industrial Internet, shared that the company plans to unveil two types of humanoid robots at its annual tech event in November. One version will feature robotic legs, while the other will have a wheeled base, which is expected to be more meanwhile, has been investing heavily in AI infrastructure. Back in April, the company revealed plans to set up supercomputer manufacturing plants in Texas, partnering with Foxconn in Houston and Wistron in Dallas. These facilities are expected to begin ramping up production in about 12 to 15 Nvidia, this move further cements its role in the robotics space. Apart from using humanoid robots, the company also provides platforms that robot makers can build on. Earlier this year, Nvidia CEO Jensen Huang predicted that humanoid robots would become common in factories within five other companies are exploring similar paths. Car manufacturers like Mercedes-Benz and BMW have already experimented with humanoid robots on their production lines. Tesla is working on its own robot, while China has been actively supporting robotics development in hopes of automating large portions of factory work.
Time of India
an hour ago
- Time of India
Elon Musk's Tesla to build China's biggest ever battery power plant
Representative Image Tesla has signed its inaugural agreement to construct a grid-scale battery power plant in China, a report claims. This move comes amidst ongoing trade tensions between the US and China. The Elon Musk-led electric vehicle maker took to the Chinese social media platform Weibo to announce that this project, upon completion, will be the largest of its kind in China. The deal, valued at 4 billion yuan ($556 million), was signed by Tesla, the Shanghai local government and financing firm China Kangfu International Leasing , a report by the news agency Reuters noted, citing Chinese media outlet Yicai. Utility-scale battery energy storage systems are crucial for maintaining balance within electricity grids, especially as intermittent renewable energy sources like solar and wind become more prevalent. What Tesla said about building the biggest ever battery power plant in China Tesla announced that its Shanghai battery factory produced over 100 Megapacks in the first quarter of this year. Each Megapack is capable of delivering up to 1 megawatt of power for four hours, making it suitable for utility-scale energy storage. by Taboola by Taboola Sponsored Links Sponsored Links Promoted Links Promoted Links You May Like Urologists: Men With ED - Try This Tonight Health Paradise Learn More Undo In the Weibo post, Tesla wrote (translated from Chinese): 'The grid-side energy storage power station is a 'smart regulator' for urban electricity, which can flexibly adjust grid resources.' Tesla added that this would 'effectively solve the pressure of urban power supply and ensure the safe, stable and efficient electricity demand of the city.' It also noted that, 'after completion, this project is expected to become the largest grid-side energy storage project in China.' The company's website states that each Megapack is priced at just under $1 million in the US, though pricing details for China have not been disclosed. According to the Reuters report, the deal is a major step for Tesla as it faces competition from Chinese battery giants CATL and BYD, with CATL holding around 40% of the global market. CATL is also expected to supply components for Tesla's Megapacks. The agreement with a local Chinese authority is especially notable amid ongoing US-China trade tensions and past political ties between Elon Musk and former US President Donald Trump. China's demand for large-scale battery storage is growing rapidly, with a target to add nearly 5 gigawatts by 2025, the Reuters report adds. Tesla is also exporting Megapacks from its Shanghai plant to Europe and Asia to meet rising global demand. In 2023, global battery energy storage capacity rose by 42 gigawatts, which is almost double the growth seen in the previous year, according to the IEA. AI Masterclass for Students. Upskill Young Ones Today!– Join Now
