SpaceX’s planned $75 billion market debut would dwarf Saudi Aramco’s 2019 IPO and could push Elon Musk’s estimated net worth above $1 trillion.
By yourNEWS Media Newsroom
Investor demand for SpaceX’s planned initial public offering has reportedly surged far beyond the number of shares available, setting up what could become the largest market debut in history.
Banks handling the offering are expected to stop accepting orders from institutional investors when markets close in New York at 4 p.m. Wednesday, according to Bloomberg, which cited unnamed sources familiar with the matter.
The report said the IPO has drawn demand for more than four times the number of shares SpaceX is offering. Bloomberg noted that orders are still being taken and that the situation could change.
SpaceX said last week it plans to offer 555,555,555 shares at $135 each. At that price, the offering would raise $75 billion.
That total would be more than double the amount raised by Saudi Aramco in its 2019 market debut, which brought in $29.4 billion and currently stands as the next-largest IPO.
The offering would value SpaceX at about $1.77 trillion. That valuation would place the company sixth in the S&P 500 by market value.
The IPO could also make Elon Musk the first trillionaire. Forbes currently estimates Musk’s net worth at $826 billion, with his SpaceX stake valued at $542 billion.
If SpaceX reaches a $1.77 trillion valuation through the offering, Musk’s estimated net worth would rise to about $1.05 trillion.
The reported oversubscription reflects intense institutional interest in SpaceX, which has become one of the most closely watched private companies in the world because of its rocket launch business, Starlink satellite internet network and role in U.S. space operations.
The final outcome of the offering will depend on demand, share allocation and market conditions before pricing is completed.
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