Elon Musk-led SpaceX is preparing for what could become the largest initial public offering (IPO) in history, after setting an IPO price of $135 per share and outlining plans to raise as much as $75 billion through its market debut later this month.
According to a filing submitted to the US Securities and Exchange Commission (SEC) on Wednesday, the company will offer 555.6 million shares, while underwriters have the option to purchase an additional 83.33 million shares.
If fully exercised, the offering could generate approximately $11.2 billion in proceeds.
At the proposed price, of roughly $1.77 trillion, placing it among the most valuable publicly traded companies in the US. The valuation would exceed that of Tesla, which is currently worth about $1.6 trillion, and rank SpaceX as the country’s seventh-largest listed company by market value.
The company, officially named Space Exploration Technologies Corp., is targeting a Nasdaq listing on June 12 under the ticker symbol SPCX.
The valuation surge would boost Musk’s personal wealth. Forbes currently estimates his fortune at $826 billion, including a SpaceX stake valued at $542 billion based on an earlier company valuation of $1.25 trillion.
A jump to a $1.77 trillion valuation would add an estimated $223 billion to Musk’s net worth, potentially making him the first person to surpass the $1 trillion mark in wealth. Following the IPO, Musk is expected to retain more than 82% of the company’s voting power.
The proposed fundraising would comfortably eclipse the record $26 billion IPO completed by Saudi Aramco in 2019. It would also surpass Alibaba’s listing, currently the largest IPO ever completed in the US market.
Despite investor enthusiasm surrounding SpaceX’s growth prospects, the company remains deeply unprofitable. Regulatory filings show it reported an operating loss of $2.6 billion last year despite generating $18.7 billion in revenue. Losses have continued into the current year as the company expands its operations.
SpaceX intends to deploy IPO proceeds toward scaling its artificial intelligence and space businesses, expanding infrastructure, and strengthening the satellite network supporting its Starlink Mobile service.
Goldman Sachs is leading the offering, with Morgan Stanley, Bank of America, Citigroup and JPMorgan Chase serving as additional underwriters.
Unlike most IPO candidates that initially provide a pricing range to gauge investor demand, SpaceX opted to announce a fixed share price following a series of investor meetings conducted ahead of the formal roadshow.
The company said that the $1.77 trillion valuation assumes completion of the EchoStar spectrum and Cursor transactions.
The latest filing also highlighted growing links among Musk’s businesses. SpaceX disclosed that its AI unit, xAI, purchased $269 million worth of Tesla Megapack battery systems in April. Tesla had previously reported selling $430 million worth of Megapacks to xAI during the previous year.
Musk combined SpaceX and xAI earlier this year in a transaction valuing the merged entity at $1.25 trillion. Cross-ownership remains significant among the group companies, with Tesla holding 18.99 million SpaceX shares, a stake valued at roughly $2.56 billion based on the IPO price.
In the filing, SpaceX said it has historically worked with Tesla through a range of commercial, licensing and support agreements.
The company first unveiled its IPO plans in a prospectus filed late last month, which revealed both its substantial losses and Musk’s dominant ownership position. An amended filing submitted this week showed that up to 5% of the shares offered in the IPO could be reserved for selected employees and other eligible participants through a direct share programme.
The listing comes amid increasing competition among AI-focused companies seeking access to public markets. AI startup Anthropic confidentially filed for an IPO earlier this week, while OpenAI is reportedly preparing its own filing in the near future.