SpaceX has filed for an initial public offering, opening public access to Elon Musk's aerospace and technology company. Trading of the newly available shares begins June 12. UK retail investors are expected to receive roughly £1.5 billion worth of shares through investing platforms.
A trillion-dollar valuation
The bankers managing the sale target a total company valuation of $1.75 trillion, which would put the firm among the ten most valuable companies in the world. SpaceX will initially sell a 5% stake, releasing roughly $75 billion in shares to public markets. That price tag arrives after the company recorded a loss of nearly $5 billion last year.
While the company built its brand on reusable rockets and launch capabilities that exceed those of any other country, the financial pitch leans heavily on emerging technologies:
- The Starlink satellite communications network generates significant income, but optimistic estimates value this segment at around $300 billion, less than a fifth of the total target valuation.
- The offering bundles in Musk's artificial intelligence business, xAI, alongside plans to construct solar-powered data centers in space and eventually build human-crewed bases on the Moon and Mars.
- SpaceX identifies a $28.5 trillion total addressable market for its services, estimating that $26.5 trillion of that potential lies in artificial intelligence rather than traditional space and communications sectors.
Public shareholders will have limited influence over the company's direction. Musk is listed as founder, chief executive, chief technical officer, and chairman of the board. Although he holds a 42% equity stake, his shares carry extra voting rights that give him 85% effective control over the business. The sale is the first of several anticipated market debuts from artificial intelligence firms, with competitors like Anthropic and OpenAI expected to follow.