Musk’s tunnel startup The Boring Company raises $3 billion at $23 billion valuation

A 3D-printed miniature model of Elon Musk and a The Boring Company logo are seen in this illustration taken January 23, 2025. REUTERS

Sept 10 (Reuters) – The Boring Company, a tunnel construction ​startup founded by billionaire Elon Musk, has ‌raised $3 billion in a new funding round that values it at $23 billion, according to a statement on Wednesday.

• The ​funding round was led by the United ​Arab Emirates and affiliated investment entities.
• Other participants ⁠included Human Capital, Vy Capital, Valor Equity Partners, ​Sequoia Capital, Andreessen Horowitz, Temasek, Shamal Holding and ​Baron Capital.
• Proceeds would support an expanded partnership to develop more than 150 km (93 miles) of underground infrastructure across ​the UAE, building on its previously announced ​Dubai Loop project.
• The Boring Company also plans to use the ‌funds ⁠to increase hiring across engineering, production and operations while expanding Loop projects in Las Vegas, Nashville and Dubai.
• Last year, the company and Dubai’s ​Roads and Transport ​Authority ⁠signed a preliminary agreement to build the Dubai Loop, an underground high-speed transport network.
• The latest ​fundraising marks a sharp increase in ​the company’s ⁠valuation from 2022, when it was valued at $5.7 billion following a $675 million funding round.
• Musk founded The ⁠Boring ​Company in 2017 after complaining ​about traffic congestion, subsequently proposing a network of underground transportation routes.

Reporting by ​Rishabh Jaiswal in Bengaluru; Editing by Sonia Cheema