SpaceX Targets $1.77 Trillion Valuation in Record-breaking $75 Billion IPO

SpaceX has set the terms for what would be the largest IPO in history, marketing 555.6 million shares at a fixed price of $135 apiece to raise roughly $75 billion. At that price the rocket and satellite company would carry a $1.77 trillion valuation, slotting in as the seventh-largest U.S. public company and edging past Elon Musk's TSLA.

The offering is set to debut on the Nasdaq on June 12 under the ticker SPCX, with underwriters holding an option for an additional 83.33 million shares worth about $11.2 billion. The deal would dwarf the prior record, Alibaba's $21.8 billion listing in 2014, and Musk is expected to retain more than 82% of voting control after the sale.

Proceeds are earmarked to fund SpaceX's launch cadence and the capital-intensive buildout of its Starlink satellite network. Investors will weigh the scarcity value of direct exposure to the dominant commercial launch provider against a valuation that prices in years of Starlink growth and assumes no execution stumbles, while S&P 500 index funds could face forced buying if SPCX later qualifies for inclusion.