Musk’s X, xAI to Repay $17.5 Billion Debt as SpaceX IPO Nears

The roughly $17.5 billion of debt tied to Elon Musk’s social network X and artificial intelligence startup xAI is set to be paid back in full, according to people with knowledge of the matter.

Morgan Stanley, which handled both companies’ debt raises, has been telling existing lenders on behalf of X and xAI that the firms will repay the outstanding debt, said the people, who asked not to be named because the details are private. They haven’t disclosed where the capital is coming from, the people added. XAI raised $20 billion of new equity money in January.

X, ...