Buried in SpaceX’s amended IPO filing was a major increase in the company’s revolving credit facility. The Elon Musk-led company expanded the facility from $1.5 billion to $5 billion.

That’s a 233% jump that significantly boosts the company’s financial flexibility as it prepares to enter the public markets.

The move raises an obvious question: Why does a company heading toward one of the largest IPOs in history need even more firepower?

A Much Bigger War Chest Isn’t Trivial

The aerospace and space transportation company more than tripled its revolving borrowing capacity while also doubling its letter-of-credit capacity from $1 billion to $2 billion and extending the facility’s maturity to 2031.

For most companies, such a move might barely attract attention. For SpaceX, it stands out because it comes alongside a blockbuster IPO and follows a $20 billion bridge financing completed earlier ...