SpaceX, the aerospace and satellite communications company headed by US tech billionaire Elon Musk, plans to raise about $75 billion (€64.6 billion) through a record-breaking initial public offering (IPO), according to a regulatory filing released on Wednesday.
SpaceX intends to offer 555,555,555 shares at an initial price of $135 per share in an offering that would value the company at approximately $1.765 trillion, based on approximately 13 billion shares outstanding.
If completed, the IPO would surpass the current fundraising record set by Saudi Arabian oil producer Aramco, which raised $25.6 billion during its 2019 public debut.
Analysts also say the listing could make Musk – already the world’s richest person – the first person in history to become a trillionaire.
SpaceX: What is special about this IPO?
SpaceX’s decision to publicly set its share price a week before its IPO has few precedents on Wall Street, overturning a long-standing market price-discovery system and underscoring Musk’s determination to raise record sums in new ways.
“This IPO is not ordinary in any way or sense,” an investor who plans to buy into the offering told Reuters news agency. “But then again, it’s the biggest IPO in history so maybe that’s not surprising.”
The lack of a clear public market benchmark for the share price is not surprising given the dearth of public companies that share SpaceX’s unique interests in space, aerospace, telecommunications and defense.
SpaceX’s revenue is projected to increase 33% to $18.67 billion in 2025 – although the company still reported a net loss of $4.94 billion.
“At first glance, the 90x revenue multiple is high by any standard,” said Tim Hatt, head of research and consulting at GSMA Intelligence. reuters. “But SpaceX is not traditional by any means and has no real public comparison.”
How has SpaceX evolved over the years?
Founded in 2002, SpaceX pioneered new advancements in private spaceflight.
In 2012, it became the first private company to successfully dock a spacecraft with the International Space Station (ISS), marking a major milestone in the commercial space industry.
In 2020, SpaceX achieved another historic feat by becoming the first private company to fly astronauts to the ISS.
In February, SpaceX acquired Musk’s artificial intelligence firm, xAI – a year after xAI acquired the social network X, formerly known as Twitter.
Analysts anticipate further consolidation of Musk’s business ventures in 2027, predicting that SpaceX could merge with his electric vehicle company, Tesla, as it continues its focus on robotics, energy solutions and autonomous transportation.
Edited by: Carl Sexton
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