SpaceX files for IPO confidentially, eyes $1.75 trillion valuation: Report

SpaceX may soon lead the largest stock market listing on record with an IPO valuation of more than $1.75 trillion. The Elon Musk-led company had merged with his artificial intelligence startup xAI earlier this year — valuing the rocket company at $1 trillion and the developer of the Grok chatbot at $250 billion.

According to a Bloomberg report, the company has filed confidentially for a US initial public offering and appears to be on track for a June listing. Companies can receive feedback from the regulator and make changes before the information becomes public in such cases. The publication estimated last week that SpaceX may consider a fundraising target of about $75 billion — dwarfing the $29 billion IPO debut record currently held by Saudi Aramco

The public listing could come at a potential valuation of more than $1.75 trillion. This would also make SpaceX the first of what could become a trio of mega-IPOs — ahead of OpenAI and Anthropic PBC. Details of the offering, including the number of shares to be sold and the price range, are likely to be disclosed in a later filing.

What do we know about the SpaceX IPO?

Bloomberg reported that SpaceX is considering a dual-class share structure in the listing that would potentially give insiders such as Musk extra voting power to dominate decision-making. The IPO is expected to have a large retail component — with SpaceX potentially allocating as much as 30% of the offering to small investors.

Initial estimates suggested that the Texas-headquartered firm could seek to raise more than $50 billion in the IPO. Bloomberg quoted sources to report last week that the actual figure may be far higher — weighing in the ballpark of $75 billion. Sources told the news agency that SpaceX has discussed the prospect of raising more than $70 billion with potential investors.

Largest IPO in history

SpaceX is the most valuable privately held company in the world following a merger deal with xAI. Reuters reported in January that the rocket startup had generated about $8 billion in profit on $15 billion to $16 billion of revenue last year. A blockbuster SpaceX debut could jolt the IPO market back to life after years of subdued activity, with market participants expecting strong demand from both retail and institutional investors. Some are likely to be drawn by the Elon Musk brand while others seek exposure to SpaceX’s fast-growing space and Starlink satellite businesses.

A listing would deepen analyst and investor scrutiny of the sprawling and intertwined business empire led by the world’s richest man — bringing renewed focus to how his companies are financed, ⁠governed and valued across markets.

SpaceX lines up investor briefings, sessions for analysts

The company is reportedly hosting an analyst day on April 21 and offering them an optional visit to xAI’s “Macrohard” data centre site in Memphis later that week. A source told Reuters that SpaceX also plans to hold a virtual session on May 4 to discuss financial models with banks’ research analysts. A separate Bloomberg report indicated that it has already told prospective IPO investors to expect briefings from company executives this month. These testing-the-waters meetings could include additional details that would support its valuation target.