Elon Musk's "Boring Company" has completed a new round of financing, valued at $20 billion; investors will now have to help it attract business.

Elon Musk's tunneling startup, The Boring Company, recently completed a new round of funding, valuing the company at approximately $20 billion. According to a recent report in the Wall Street Journal, the company made an unusual condition to some investors: those wishing to participate in this round of funding must assist the company in recruiting employees or driving business expansion.

Many private equity investors view betting on Musk's companies as a sure-fire way to make money and have expressed their willingness to accept additional obligations for it.

Investment comes with conditions: recruiting or acting as a middleman; otherwise, the shares will be repurchased.

According to sources familiar with the matter who spoke to the media, The Boring Company required some of the investors participating in this round of financing to help recruit company employees or assist in business expansion—for example, by introducing them to local government officials in areas where the company is interested in undertaking tunnel projects.

The company has informed potential investors of several open positions. Sources familiar with the matter said that The Boring Company has the right to repurchase a portion of its shares if investors fail to provide qualified candidates.

Musk's Aura: Private Equity Enthusiasm Remains High After SpaceX IPO

Behind these financing terms lies Musk's ever-growing appeal in the investment community.

Musk simultaneously leads Tesla and SpaceX. In June of this year, SpaceX went public, raising a record $86 billion in its IPO. Following the IPO, SpaceX's market capitalization nearly doubled immediately, although its share price has since fallen by about 7% from its IPO price.

Even so, private equity investors remain enthusiastic about Musk's projects and are willing to take on additional obligations to participate in financing.

Company Status: Originating in Las Vegas, expanding into Dubai and Nashville.

The Boring Company, which spun off from SpaceX in 2018, claims to be able to excavate underground tunnels at a lower cost than traditional construction companies.

Currently, the company operates a transportation network underground on the Las Vegas Strip and has promoted the project to cities such as Baltimore, Chicago, and Los Angeles.

In Nashville, the company is developing a new underground loop at its own expense.

Earlier this year, the company announced an underground ring road project in Dubai: the first phase, which is 4 miles long and costs $154 million, is expected to be completed within a year; the second phase will extend the route to 14 miles, which is expected to take three years and cost $545 million.

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