SpaceX Plans Historic IPO with $75 Billion Target

SpaceX intends to go public this month, targeting up to $75 billion through its stock market debut. This public offering promises to be the largest ever, potentially propelling Elon Musk towards being the first trillionaire. Space Exploration Technologies Corp., SpaceX’s formal name, announced the sale of 555.6 million shares priced at $135 each. This would set SpaceX’s market value at an impressive $1.77 trillion.

Only a handful of companies, specifically six in the S&P 500, currently boast higher valuations, with Nvidia leading at $5.2 trillion. SpaceX’s prospectus details Musk’s control over the company. As CEO, chief technical officer, and chairman, Musk’s influence derives from his 5.22 billion Class B shares, each granting 10 votes. Thus, he would hold 82.4% of the company’s voting power. Forbes estimates Musk’s net worth at $826 billion, attributing $542 billion to his SpaceX stake.

The anticipated proceeds from SpaceX’s IPO would surpass the $26 billion amassed by Saudi Aramco in 2019. SpaceX’s plans include significant endeavors, such as human missions to the moon and, potentially, colonizing Mars. The IPO document diverges from typical technical language. It eloquently details ambitions like establishing a permanent human colony on Mars with over a million people, highlighting existential risks similar to those faced by the dinosaurs.

Aside from SpaceX, Anthropic also filed a confidential IPO submission with the U.S. Securities and Exchange Commission this week. An IPO by OpenAI, the creator of ChatGPT, is anticipated but remains unconfirmed officially with the SEC. As these companies prepare for their market debuts, investors are closely watching the developments.