Tesla lines up $30B in new credit, one of the largest energy debt deals ever
What's the deal? Tesla entered into three senior unsecured credit agreements on September 29, 2026, totaling $30 billion in available financing, according to a company statement. CitibankDealroom has a profile for this one. Try Dealroom → and Wells Fargo are the lead agents across the facilities.
The details: The package includes US$12.9B three-year delayed draw term loan with Citibank as administrative agent, an $8 billion five-year revolving facility, and US$1.29B 364-day revolving facility, with Wells Fargo as agent for both revolvers.
How it works: Under the term loan, Tesla can draw up to ten times within 18 months of closing. Available commitments step down to $10 billion at one year and $5 billion at 15 months, with anything left terminating at 18 months. Outstanding loans mature on September 29, 2029.
The five-year revolver allows borrowings in US dollars, pounds sterling, or euros, includes up to $500 million in letters of credit, and matures on September 29, 2031. Tesla can request two one-year extensions.
Why now? Tesla drew nothing under any facility and said it does not plan to in 2026. The move builds a large liquidity buffer rather than funding an immediate need.
The fine print: The agreements require Tesla to keep at least $5 billion in consolidated liquidity. Interest on US dollar borrowings runs at a variable rate based on Term SOFR or an alternate base rate, plus a margin tied to Tesla's credit rating.
Proceeds may fund general corporate purposes. Tesla can expand the revolvers by up to $4 billion, lifting total revolving capacity to as much as $14 billion.
What else? Tesla terminated its existing $5 billion revolving credit agreement from January 2023, also agented by Citibank. No borrowings were outstanding, and Tesla paid no early termination penalties.
The signal: At $30 billion, this ranks among the largest post-IPO debt deals ever recorded for a US energy company — in the top 1% of 792 comparable rounds. Rather than raising cash, Tesla is stockpiling flexible, low-obligation capacity it can tap on its own terms.
Read more: streetinsider.com
Image credit: jurvetson
