SpaceX (SPAX.PVT) officially kicked off its IPO process, which could result in the biggest public offering ever. This comes as other rivals move in on the satellite connectivity space, one of SpaceX’s biggest businesses.
The reusable rocket and space exploration company confidentially filed for its IPO with the SEC, Bloomberg News reported on Wednesday. Though details won’t be available until closer to its official listing, The Information and Bloomberg reported earlier that SpaceX was expected to raise up to $75 billion in its offering.
Though SpaceX was most recently valued at $1.25 trillion, Reuters reported late Thursday that the company was seeking a valuation of $1.8 trillion, easily topping companies like CEO Elon Musk’s Tesla (TSLA).
SpaceX won’t decide the actual size of the offering and valuation until a few weeks before the IPO, with the company targeting a June listing. Bloomberg also reported the company is considering a dual-class share structure in the listing that would potentially give insiders like Musk extra voting power.
In addition, SpaceX may reportedly allow more retail investors to participate in the IPO than is typical, as Musk has been known to cater to individual investors in Tesla, for example. The individual investor portion could top 20% of the offering, double the 10% typically allocated.
For Musk, SpaceX’s offering is the culmination of his dream to build reusable rockets and colonize Mars. He founded the company in 2002. By 2012, SpaceX began delivering cargo by rocket to the International Space Station.
Part of SpaceX’s big valuation story is Starlink, the satellite-based internet service that began operation in 2019. Starlink reportedly generates the lion’s share of SpaceX’s profits, and its growth may be a reason why a SpaceX IPO would be lucrative at this time.
The FT reports Amazon (AMZN), which has its nascent LEO satellite internet business, is in talks to acquire satellite telecom group Globalstar for $9 billion. This comes after LEO inked a deal with Delta to provide internet service on its planes, starting in 2028.
A SpaceX IPO would also bring another Musk company to the public fold, one that is increasingly connected to Musk’s other trillion-dollar company, Tesla.
Last month Tesla and SpaceX announced Terafab, a joint venture designed to consolidate every stage of semiconductor production under one roof.
Terafab targets two primary chip types: an edge-inference processor optimized for Tesla’s full self-driving systems, Optimus humanoid robots, and Robotaxi fleets, plus a high-power variant hardened for space environments, supporting SpaceX satellites, orbital data centers, and xAI initiatives.
