SpaceX has announced its intention to set its IPO price at $135 per share, targeting a record-setting $75 billion fundraising that would make it the largest initial public offering in history. The rocket, satellite, and artificial intelligence company plans to sell 555.6 million Class A shares at the fixed price, according to an amended SEC filing submitted Wednesday.
SpaceX IPO Price and Valuation Details
At the $135 per share price tag, SpaceX would be valued at approximately $1.77 trillion, contingent upon the completion of the EchoStar spectrum and Cursor transactions. This valuation would make SpaceX the seventh-largest company in the U.S. per the Fortune 500 list, surpassing current no. 7 spot Berkshire Hathaway and CEO Elon Musk’s other company, Tesla, which trades at a market cap of about $1.6 trillion.
The company is offering 555.6 million shares, and underwriters have the option to acquire another 83 million shares, potentially adding $11.2 billion to the total fundraising amount. This singular price target, rather than a range, is an unusual strategy that underscores the thriving IPO environment fueled by the AI boom and Musk’s penchant for ambitious objectives.
Largest IPO in History to Surpass Saudi Aramco Record
This upcoming IPO is poised to be the largest in history, surpassing the previous record of $29.4 billion set by Saudi Aramco in 2019. SpaceX’s offering would be over twice as big as the prior record for the largest IPO, making it a monumental launch with unprecedented impact on capital markets.
The filing revealed that SpaceX is expected to float barely 4% of the company, and Nasdaq index funds will be forced to absorb SpaceX shares mechanically, at whatever price prevails. This limited float means the company will remain largely privately held even after the public offering.
Elon Musk Voting Control Post-IPO
Currently, Elon Musk holds a 50% stake in SpaceX, and post-offering, he is expected to retain nearly half of the total shares. Notably, some of these shares are special class shares with enhanced voting rights, allowing Musk to maintain 82.4% of the voting power following the IPO.
The filing said Musk — who serves as CEO, CTO, and chairman of the board — would hold around 82% of the voting power of the company’s common stock, allowing the founder to maintain significant control. This voting structure ensures Musk retains decision-making authority despite the massive public offering.
IPO Timeline and Trading Start Date
SpaceX is slated to make its debut on the Nasdaq on June 12, 2026. Most reports suggest that a price announcement could occur after market close on June 11, potentially leading to the first trading day on June 12.
The company is expected to go public next Friday, with its much-anticipated public offering signifying not only the commercialization of space travel but also the ambitious goals of establishing human settlements on the Moon and Mars. However, it is important to note that these plans are not finalized and could face delays.
Purpose of IPO Funding and Capital Needs
The proceeds from this stock sale, along with potential future offerings, are intended to support the substantial capital requirements of both its space and AI divisions. SpaceX’s space program includes rocket development, satellite deployment through Starlink, and plans for lunar and Mars missions.
The rocket, satellite and AI company’s plan for a blockbuster listing on Nasdaq in June is unprecedented in modern history, with its potential impact on capital markets matched only by the antitrust efforts that saw the breakup of oil monopoly Standard Oil Company in 1911. This funding will enable SpaceX to continue its ambitious expansion into artificial intelligence alongside its core space operations.
Musk’s Potential Trillionaire Status
This monumental launch could potentially position Musk, who is already the wealthiest individual globally, as the first trillionaire in the world. The $1.77 trillion valuation would significantly increase the value of Musk’s existing holdings, potentially pushing his net worth beyond the trillion-dollar threshold.
Currently only six companies in the S&P 500 exceed SpaceX’s proposed valuation, with Nvidia leading at $5.2 trillion. This places SpaceX among the most valuable companies globally even before its public trading begins.
Bank Fees and Underwriter Participation
Banks will reap more than $500 million possibly in terms of banking fees for this huge offering. The underwriters have the option to purchase additional shares, which could add another $11.2 billion to the total if the option is exercised.
The marketing with investors starts as soon as today or Thursday, and then the next few days will be critical as they gather momentum and fill in the books, potentially offering the shares next week and the first trading day the next week as well.
Unusual Fixed Pricing Strategy
The specificity of the price is somewhat unusual, as it does not provide a range. This clarity contributes to a projected valuation of $1.75 trillion, aligning with earlier figures circulating in the market. While the set price is $135, the actual opening could vary once trading begins.
SpaceX said Wednesday it plans to set its IPO price at $135 a share, which is a fixed price rather than a range, which is quite rare and unheard of in IPO pricing. This approach reflects strong confidence in investor demand and the company’s valuation.
What Investors Should Expect
SpaceX (SPAX.PVT) is aiming for an initial public offering (IPO) price of $135 per share to accumulate $75 billion, as stated by Reuters. The company is currently scheduled to go public on Friday, June 12, with the marketing with investors starting immediately.
Investors should note that the offering represents only about 4% of the total company, meaning SpaceX will remain largely under Musk’s control even after going public. The enhanced voting rights structure ensures Musk maintains 82.4% voting power despite the massive share sale.
