Furthermore, the renowned businessman bought the firm for a huge $44 billion. This news is from a report issued by the Wall Street Journal (WSJ) on Tuesday.
According to the report, SpaceX approved the $1 billion loan in October, and Musk fully used it. Indeed, the loan has coincided with Musk’s acquisition of Twitter.
This is just one instance in several financial moves made by the businessman to raise capital for his many endeavours.
Musk has previously leveraged his holdings in companies like Tesla to secure loans from banks.
Billionaire Entrepreneur Utilises Loan
Moreover, SpaceX has served as a lender for his ventures. The company is a private aerospace manufacturer and space transportation company.
The acquisition of Twitter added a layer of complexity to Musk’s financial status.
According to information published by the Federal Communications Commission, Musk has 42% of shares in SpaceX and has 79% of the voting power.
WSJ highlighted that SpaceX obtained nearly $4.7 billion in cash and assets at the end of the past year.
Notably, Musk conducted significant sales of his Tesla shares in 2022, both before and after the acquisition of Twitter.
He amassed approximately $40 billion in total sales. Indeed, these divestitures were met with some consternation from Tesla investors.
Tesla Implements Stricter Regulations After SpaceX Borrowing
In April 2023, Tesla implemented stricter regulations regarding Musk’s use of his company stake for borrowing purposes. This move was aimed at managing the financial implications of Musk’s multifaceted business ventures.
In addition to his roles at Tesla, X, and SpaceX, Musk is also a co-founder of Neuralink, a start-up focused on brain-computer interface technology.