Elon Musk’s xAI is seeking a valuation of $113bn in a share sale worth $300m, the Financial Times reported on Monday, citing people close to the situation.
The deal would allow employees to sell shares to investors and a larger investment round is expected to follow the secondary stock offer, in which xAI will offer new equity to outside investors, the FT report said.
The artificial intelligence (AI) start-up acquired X, Musk’s social media business, in March. The deal valued xAI at $80bn and social media platform X — formerly known as Twitter — at $33bn, Musk had said then.
xAI did not immediately respond to a Reuters request for comment on the FT report.
The start-up was launched less than two years ago and was in talks with investors to raise roughly $20bn in funding for the combined AI start-up and social media business, Bloomberg News reported in April.
Also on Monday, Musk’s brain implant company Neuralink said that it had raised $650m in its latest funding round.
It closed its funding round with participation from key investors including ARK Invest, DFJ Growth, Founders Fund, G42, Human Capital, Lightspeed, QIA, Sequoia Capital, Thrive Capital, Valor Equity Partners and Vy Capital, the company said.
Musk recently stepped back from the Trump administration after the he ended a chaotic four-month stint leading the administration’s sweeping cost-cutting campaign.
US President Donald Trump, however, said Musk would remain a close adviser.
Reuters
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