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Capital Markets · Elon Musk · IPO · SpaceX
SpaceX, led by Elon Musk, is preparing for an unconventional initial public offering (IPO) expected to raise between $40 billion and $80 billion, with plans to file confidentially with regulators in the coming days.
Musk is crafting a unique IPO playbook, including inviting investors to SpaceX facilities for tours and rocket launches, a departure from traditional roadshows. The company is also considering unusual lockup periods for early investors, preferential share allocation for investors in other Musk companies like Tesla, and distributing a significantly larger portion (a third or more) of shares to individual investors, compared to the typical 10%.
This blockbuster offering, if it reaches the $40 billion to $80 billion range, will surpass Saudi Aramco's $30 billion IPO from 2019. SpaceX aims for an early inclusion in major stock indexes such as the Nasdaq-100, which will attract substantial new buyers.
Morgan Stanley's Michael Grimes is among the bankers involved in these plans. The company expects to file confidentially with regulators soon, with a public filing following in a couple of months.
Musk's SpaceX IPO Redefines Public Offering Norms(current)
