SpaceX holds record IPO: Elon Musk's space company raises $75 billion
The entire company can be valued at $1.77 trillion: it is immediately among the top 10 most expensive in the world
SpaceX held a record IPO / Photo: X/SpaceX
Elon Musk's space company SpaceX placed about 555.6 million shares on the Nasdaq exchange at $135 each, allowing it to raise $75 billion, the company said in a statement. With these parameters, the entire business of the world's largest aerospace company can be estimated at $1.77 trillion, Bloomberg noted.
SpaceX IPO became the largest in history, more than doubling the previous result. Previously, the record belonged to the oil company Saudi Aramco, which raised about $29 billion in 2019. Trading in SpaceX shares is expected to begin on Friday, June 12, on the Nasdaq and Nasdaq Texas exchanges under the ticker SPCX. The company will then rank seventh in value among listed U.S. companies, while it was unprofitable last year, Reuters specifies.
SpaceX's IPO offering price did not change from the previously announced price. Usually companies before the IPO report the price range and determine the final price based on investor interest, but SpaceX immediately set a specific price of $135. At the same time, demand for SpaceX shares was more than four times the supply, Bloomberg wrote. The underwriters have options to purchase an additional 83.33 million securities at the IPO price within 30 days. If they exercise this right, the total amount may increase to $86.2 billion, MarketWatch specifies.
"It's probably the most encouraging IPO ever," Bloomberg quoted Kim Forrest, investment director at Bokeh Capital Partners, as saying. SpaceX buyers "want to be part of the future," she said.
Musk retained 84.4% of voting rights after the IPO through Class B shares, which carry 10 votes compared to one for each Class A share. The billionaire did not sell any securities in the offering, which valued his stake at more than $866 billion, Axios noted. The publication calls Musk the world's first trillionaire "on paper," given his stake in Tesla.
SpaceX will use the proceeds from the IPO to develop its Starlink network, Project Starship rocket program and other initiatives related to artificial intelligence and space infrastructure.
This article was AI-translated and verified by a human editor
