According to reports, Morgan Stanley is seeking investors for a $5 billion debt sale of xAI. The AI startup has opened its books to investors willing to commit at least $50 million.
According to Morgan Stanley, xAI is projected to generate around $14 billion in annual earnings by 2029.
The company’s gross revenue for the first quarter was $52 million.
It’s unclear how the feud between Musk and President Donald Trump will affect the Morgan Stanley sale of xAI. However, before the feud, xAI had announced plans to generate $1 billion in gross revenue by the end of 2025.
Alongside Morgan Stanley’s $5 billion debt sale, xAI is also reportedly seeking a valuation of $113 billion in a share sale worth $300 million.
By CEO NA Editorial Staff
