Intuitive Machines Inc (NASDAQ:LUNR) shares are tumbling Wednesday as space stocks slide, pressured by weakness in SpaceX-related sentiment.
- Intuitive Machines shares are sliding. Why is LUNR stock falling?
Intuitive Machines Slips as SpaceX Plans $40 Billion Debt Raise
Space-related stocks are falling Wednesday, and Intuitive Machines is moving lower with them. The weakness may reflect sympathy with SpaceX Exploration Technologies Corp (NASDAQ:SPCX), which reportedly wants to issue $40 billion in new debt to buy Nvidia Corp (NASDAQ:NVDA) chips for its data centers. SpaceX shares were down approximately 3.5% at last check.
The Financial Times reported that SpaceX is seeking about $10 billion in bank loans and $30 billion in investment-grade debt to pay for the chip order. Apollo Global Management is expected to lead the transaction and sell the debt to a diverse set of investors. The deal is projected to close in 2027.
SpaceX’s Plan Fits a Wider Debt-Fueled AI Buildout
SpaceX’s plan fits a wider pattern of borrowing for AI. Apollo already has ties to Nvidia. It is one of six firms that teamed up with the chipmaker in August on financing platforms designed to mobilize more than $500 billion for AI infrastructure. BlackRock, Blackstone, Brookfield Asset Management, Goldman Sachs and KKR are the other five.
SpaceX has tied its own buildout to Nvidia. Elon Musk said earlier this year that SpaceX will build its data centers exclusively with Nvidia hardware. Last month, Musk said the Colossus 2 data center could more than double its Nvidia chips by December.
Why a SpaceX Report Would Affect LUNR
Intuitive Machines is particularly sensitive to moves in SpaceX-related sentiment because the two companies are linked through the broader commercial space ecosystem. SpaceX serves as a launch provider for Intuitive Machines’ lunar missions, and investors often view space stocks as a thematic group, causing developments involving industry leaders like SpaceX to ripple across smaller space and lunar infrastructure names.
LUNR Shares Are Sliding
LUNR Price Action: Intuitive Machines shares were down 7.10% at $14.00 at the time of publication on Wednesday, according to Benzinga Pro.
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