Elon Musk’s SpaceX is reportedly in talks to raise a hefty $500 million in hopes of boosting its Starlink project. In this undertaking, SpaceX plans to smother our planet with a constellation of whopping 11,000 satellites. The satellites are planned to revolve the earth at a very low orbit and provide low-cost internet connectivity to pretty much every nook and corner of the Earth.
The company has so far been able to put out only 2 satellites this year, falling way short of the 400 satellites they earlier expected. Hence, this funding would be very crucial to the Hawthorne, California-based company.
WSJ reported that the company was valued at $30.5 billion and that it would be raising funds from its existing shareholders as well as new comer Baillie Gifford & Co; a long time Elon Musk trustee and third largest investor in Tesla Inc. The shares would be going for $186 a piece.
This apart, SpaceX also took out a $260 million high-yield leveraged loan a few weeks back. A certain portion of the loaned amount, as well as the cash being raised in the upcoming round of funding, is expected to be directed towards the highly ambitious BFR project. , the company’s flagship rocket which would be making its trip to Moon sometime 2023.