SpaceX Sets $1.77 Trillion Valuation with $135 Share Price

SpaceX has officially set the stage for what is poised to become the largest initial public offering in history. According to an amended filing submitted to the Securities and Exchange Commission (SEC) on Wednesday, the aerospace giant plans to raise $75 billion when it goes public later this month.

The company intends to sell 555.6 million Class A shares at a fixed price of $135 each. Based on the total number of shares outstanding, this pricing structure values SpaceX at approximately $1.77 trillion. Upon its debut, this valuation would rank SpaceX as the seventh-largest company in the United States according to the Fortune 500, surpassing current seventh-place holder Berkshire Hathaway and Elon Musk’s other major enterprise, Tesla, which currently holds a market capitalization of roughly $1.6 trillion.

The IPO marks a significant transformation for the rocket manufacturer. Following the all-stock acquisition of xAI in February, SpaceX has evolved into a conglomerate encompassing satellite internet via Starlink and artificial intelligence. The prospectus explicitly outlines Musk’s ultimate objective: establishing a colony of one million people on Mars. In this vision, rockets serve as the transport mechanism, while AI systems are tasked with organizing the colony and devising strategies to facilitate the migration.

However, the financial reality of the offering suggests that only a fraction of the capital will directly fund these ambitions. As previously reported by Fortune, over three-quarters of the $80 billion in proceeds have already been allocated. These funds are designated for repaying debt owed to Valor Equity Partners, X Corp, and xAI investors, as well as for paying EchoStar for spectrum acquisition. Consequently, less than $18 billion remains available for AI expansion and other projects.

Despite the influx of public capital, Elon Musk retains absolute authority over the company. The SEC amendment reveals that Musk, serving as founder, CEO, CTO, and chairman, will control approximately 82.4% of the voting power post-offering. This majority stake allows him to unilaterally elect or remove a majority of the board of directors, classifying SpaceX as a “controlled company” and exempting it from specific Nasdaq governance regulations. For public shareholders, this structure implies a passive role in the company’s direction as it heads toward space.

SpaceX’s filing initiates a highly anticipated summer for IPOs, with other rumored trillion-dollar listings such as Anthropic and OpenAI expected to follow. Anthropic already confidentially submitted its prospectus on Monday, prompting Wall Street to question whether public markets possess sufficient liquidity to absorb these massive offerings.

To accommodate the arrival of these megacaps, Nasdaq controversially updated its rules last month. The exchange now permits the largest IPOs to join the prestigious Nasdaq 100 index after just 15 trading days, bypassing the standard months-long wait for regular index reconstitution. Additionally, Nasdaq eliminated its 10% minimum float requirement. With SpaceX expected to float only about 4% of its shares, index funds tracking the Nasdaq 100 will be compelled to mechanically purchase SpaceX shares at the prevailing market price. This mechanism provides early investors with an immediate and lucrative exit opportunity, potentially marking the largest payday in startup history.

Source: Yahoo News Generated at: 2026-06-04 01:23:04 UTC