SpaceX is reportedly looking at a potential IPO that could set Elon Musk on track to become the world’s first trillionaire and is beginning discussions with investment banks.
The company is scheduled to meet with bankers this week in what is described as a “bake-off.” This meeting is a key move towards what might be one of the largest IPOs ever, as noted by a report from The Wall Street Journal.
With a valuation estimated at around $1.5 trillion, SpaceX aims to raise over $30 billion from public investors, according to information reported by Bloomberg.
The CFO, Brett Johnsen, mentioned to employees on Friday that there’s a possibility SpaceX could go public next year, but he also cautioned that the timing and feasibility of the IPO are still “very uncertain.”
In an internal memo, Johnsen expressed confidence, stating, “If we execute well and the market cooperates, we will be able to raise a significant amount of capital through a public offering.”
If successful, Musk’s stake in SpaceX could be valued over $625 billion, pushing his total wealth beyond $930 billion, according to the Bloomberg Billionaires Index. This estimation doesn’t even factor in the potential gains from Musk’s Tesla compensation package, estimated to be worth $1 trillion if performance targets are met.
There’s been no comment from SpaceX regarding these developments.
Johnsen also shared that SpaceX is participating in a secondary stock sale, which could set a pre-IPO valuation of $800 billion, effectively making it the most valuable private company in the world and doubling its current worth.
Known for its rocket and satellite launches, SpaceX is collaborating with NASA to bring American astronauts back to the moon, with Musk aiming to someday establish a colony on Mars.
The company also provides Starlink, a satellite-based internet service that has been notably used by the Ukrainian military during the ongoing conflict with Russia.
Musk stated in June that he anticipates SpaceX will generate about $15.5 billion in revenue this year, a figure he claims will surpass NASA’s entire budget next year.
Furthermore, he mentioned the possibility of constructing data centers in orbit to counter future artificial intelligence threats.
