SpaceX Has $100.8 Billion in Cash. It’s Still Borrowing Money.

SpaceX is going to the bond market for the first time, and it’s doing so while sitting on a massive pile of cash.

According to a new SEC filing, the company announced it’s launching an offering of senior unsecured notes on June 22, aimed at qualified institutional buyers and non-U.S. investors. It’s SpaceX’s first ever bond issuance, which is a pretty notable move for a company that, as of June 19, had roughly $100.8 billion in cash and cash equivalents sitting in the bank.

So why borrow money when you’re already swimming in it? According to the filing, the proceeds will mostly go toward paying off SpaceX’s existing bridge loan facility in full, covering related fees, and whatever’s left over will go toward general corporate purposes. In other words, this looks less like a company that needs cash and more like one restructuring its debt on favorable terms while it can.

The filing says the notes won’t be registered under the Securities Act, meaning they can’t be offered or sold in the U.S. without an exemption, standard stuff for this kind of private placement. SpaceX also cautioned that its cash position could look different by the end of June, so the $100.8 billion figure is really just a snapshot in time rather than something investors should lean on too heavily.

The announcement was signed off by CFO Bret Johnsen and filed alongside SpaceX’s official press release on the bond offering.

Sources speaking to CNBC claim the company is trying to raise $20 billion.

No word yet on the size of the notes or what interest rate they’ll carry, since those details are still subject to market conditions.

Shares of Tesla closed today at $154.60, down 16% for the day, as the IPO appears to be simmering after launching high out of the gates.