Elon Musk’s XAI Holdings, formed from merging his xAI startup with social media company X, is in talks to raise $20 billion, Bloomberg News reported. The new investment could value the combined company at $120 billion, the report said.

The giant round could be used to pay down some of the debt that X, then called Twitter, took on when Musk took it private in a leveraged buyout three years ago. XAI, the maker of chatbot Grok, has previously raised about $13 billion from investors including Andreessen Horowitz, Sequoia Capital, BlackRock  and sovereign wealth funds MGX and Qatar Investment Authority.