SpaceX CDS Begin Trading After $25 Billion Debut Bond Sale
Updated
Updated · Bloomberg · Jun 25
SpaceX CDS Begin Trading After $25 Billion Debut Bond Sale
3 articles · Updated · Bloomberg · Jun 25
Summary
$25 billion of newly issued SpaceX bonds has triggered active trading in credit-default swaps tied to the company, opening a market for investors to hedge losses or bet on its credit risk.
Major Wall Street bond dealers are now making markets in the swaps, according to people familiar with the private activity, giving SpaceX a tradable credit derivative soon after its first high-grade bond sale.
The new CDS market extends investor access beyond the bond deal itself, adding a fresh gauge of how markets price the creditworthiness of Elon Musk's rocket, satellite and AI group.