Elon Musk’s company, xAI, recently launched a share sale to secure an estimated valuation of $113 billion. The company raised $300 million through this offering, and is leveraging this capital to advance its AI-focused endeavors while preparing for larger investments in the future. Morgan Stanley acted as lead arranger on a separate $5 billion debt sale, which will support xAI’s strategic growth initiatives. Elon Musk’s leadership at xAI has returned to focus on the company after his time in the Trump administration. This shift signifies his intention to bolster the AI startup’s market presence. Experts view this move as indicative of the broader surge in valuations within the AI sector, with the $113 billion valuation representing a significant leap from the company’s initial valuation of $80 billion after its March acquisition of X. The share sale also allows for employee stock sales to contribute to financial stability and growth.