SpaceX is preparing for a major breakthrough in the largest initial public offering (IPO) in history, with plans to increase approx $75 billion by providing shares at a fixed price of $135 each.
As per reports, the Elon Musk-led company intends to sell nearly 555.6 million shares, valuing the aerospace, satellite, and artificial intelligence firm at more than $1.8 trillion.
The significant move is unusual because most US companies announce a price range before meeting possible investors during a marketing roadshow.
Rather, SpaceX is reportedly setting a fixed share price ahead of the process, a strategy more commonly seen in Asia and Europe.
The SpaceX IPO is likely to exceed the previous record set by Saudi Aramco’s $29.4 billion listing in 2019.
SpaceX is likely to start marketing the offering on June 4 and price the shares as early as June 11.
Several credible analysts mentioned that the valuation is ambitious, especially since the company is not yet profitable. However, strong investor enthusiasm for technology and artificial intelligence companies could demand for the offering.
Moreover, the listing comes as the company aims to outdo its rivals including OpenAI and Anthropic explore potential public offerings.
Meanwhile, over 1,000 current and former SpaceX employees are reportedly working together to secure better financial advisory terms ahead of the IPO.
Goldman Sachs, Morgan Stanley, Bank of America, Citigroup, and JPMorgan are among the lead underwriters for the landmark offering. SpaceX is expected to trade under the ticker symbol SPCX on Nasdaq and Nasdaq Texas.
