Elon Musk’s SpaceX plans to set a fixed price of $135 per share ahead of formal marketing for its initial public offering, people familiar with the matter confirmed to CNBC on Wednesday.
Typically, at this stage of the process, new issuers offer price ranges that allow companies and their advisors to gauge demand sensitivity at various levels. In this case, SpaceX took a more unique approach after numerous test meetings leading up to the roadshow launch.
The company plans to sell 555.6 million shares, suggesting the offering would be worth $75 billion, said the people, who requested anonymity because the details are private.
At a price of $135 per share, SpaceX would be worth $1.75 trillion. echo star The spectrum and cursor transaction ends. Reuters earlier reported pricing details.
This rating makes SpaceX the seventh-largest company in the U.S., surpassing it. teslawith a market capitalization of approximately $1.6 trillion.
Musk’s company plans to list on the Nasdaq on June 12th.
SpaceX, which will go public under the ticker symbol SPCX, is set to be the largest IPO ever, more than three times the size of the company. alibabawhich is the largest U.S. IPO ever.
The long-awaited debut comes as AI companies Anthropic and OpenAI are competing to go public.
Anthropic secretly filed its IPO prospectus with the Securities and Exchange Commission on Monday, giving it a run for its money ahead of its major rivals. CNBC previously reported that OpenAI is preparing to file a confidential IPO prospectus in the coming weeks.
SpaceX filed a prospectus with the SEC late last month, disclosing billions of dollars in losses and Musk’s large ownership stake. The company filed an amended filing on Monday showing SpaceX plans to reserve up to 5% of its IPO shares for purchase by “certain employees and persons” in a direct stock program.
As SpaceX heads to the public market, rumors are circulating that Musk’s ultimate goal is to combine the company with Tesla, CNBC previously reported.
Mr. Musk has discussed the possibility of merging the companies with colleagues, and current Tesla employees told CNBC that the topic is openly discussed within the company. Tesla and SpaceX have also spent years pooling resources and sharing personnel.
—CNBC’s Lora Kolodny contributed reporting.
