DistantNews
Support us
SpaceX aims for $1.765 trillion valuation in historic IPO
🇨🇭 Switzerland /Economy & Trade

SpaceX aims for $1.765 trillion valuation in historic IPO

From Le Temps · () French

Translated from French, summarized and contextualized by DistantNews.

At a glance

News Official statement New plan
  • SpaceX confirmed plans for the largest initial public offering in history, aiming to raise $75 billion on a $1.765 trillion valuation.
  • The company will offer over 555 million shares at $135 each, potentially launching by June 12.
  • This IPO would significantly surpass Saudi Aramco's 2019 record and positions SpaceX among Wall Street's giants, with speculation about a future merger with Tesla.

Elon Musk's aerospace company SpaceX has officially confirmed its intention to pursue the largest initial public offering (IPO) in history. The company aims to raise $75 billion by offering more than 555 million shares at $135 each, with a total valuation projected at an astounding $1.765 trillion. The offering could occur as early as June 12, according to documents filed with the U.S. Securities and Exchange Commission (SEC).

If successful, SpaceX's IPO would shatter the current record for IPO fundraising, held by Saudi Aramco since 2019 when it raised $25.6 billion. The envisioned valuation places SpaceX directly among the titans of Wall Street. The company has also factored in the possibility of selling additional shares if demand is strong, further increasing its market size.

(Elon) Musk wishes to own and control a larger part of the artificial intelligence ecosystem and, step by step, the holy grail could be to combine in one way or another SpaceX and Tesla to create a link between these two technology giants that seek to lead the AI revolution.

— Dan IvesAn analyst from Wedbush Securities discusses potential future strategies involving SpaceX and Tesla.

This immense valuation surpasses that of Tesla, the electric vehicle manufacturer also associated with Elon Musk. However, analysts like Dan Ives of Wedbush Securities anticipate a potential merger between SpaceX and Tesla by 2027. Ives suggests Musk's goal is to control a larger artificial intelligence ecosystem, potentially linking these two tech giants to lead the AI revolution.

SpaceX encompasses diverse ventures, including rocket launches, the Starlink satellite internet service, the xAI artificial intelligence lab, and the social media platform X. The company is known for ambitious projects, such as lunar and Martian exploration. Despite a projected deficit for 2025, SpaceX's valuation is nearly 100 times its revenue, fueled by significant investor enthusiasm. Even before its shares are available on traditional markets, investors have been actively seeking opportunities through mutual funds, the secondary market, and betting sites.

SpaceX is closely linked to the success of Elon Musk, who serves as CEO, CTO, and Chairman of the Board.

— Thomas ShippA wealth manager from LPL Financial comments on the company's leadership.
DistantNews Editorial

Originally published by Le Temps in French. Translated, summarized, and contextualized by our editorial team with added local perspective. Read our editorial standards.

More Stories

From Our Blog