SpaceX to Update Prospectus Tomorrow, 1.75 Trillion 'Largest IPO in History' Locked at $135. Musk's Net Worth Approaches Trillion

TradingKey - SpaceX, the rocket and AI company owned by Elon Musk, the world's richest man, is set to launch the largest IPO in history.

The company plans to issue approximately 556 million new shares at $135 per share, raising about $75 billion and implying a valuation of approximately $1.75 trillion. If the transaction is completed as planned, it will surpass the record set by Saudi Aramco in 2019 to become the largest IPO in global history.

The IPO is expected to be listed on the Nasdaq on June 12 under the ticker symbol "SPCX." The company’s institutional roadshow launched this Thursday (June 4), with pricing set for next Thursday (June 11) and the official listing as early as next Friday (June 12).

Several top Wall Street investment banks are participating in the underwriting, including Goldman Sachs ( GS ), Morgan Stanley ( MS ), Bank of America ( BAC ), Citigroup ( C) and JPMorgan Chase ( JPM ), with Goldman Sachs and Morgan Stanley serving as the lead underwriters. Due to the massive scale of the transaction, media reports indicate that SpaceX has even successfully pushed underwriting fees down to less than 0.75%, far below the typical level for major tech IPOs.

75 Billion Raised in New Share Issuance; Musk Pledges 366-Day Lock-Up Period

Unlike many large IPOs, this offering will utilize an "all-primary offering" structure, meaning that all shares issued will come from newly issued SpaceX stock rather than sales by existing shareholders.

As a result, all proceeds will flow directly into the company's accounts to support future business expansion and capital expenditure plans, rather than serving as a cash-out channel for existing investors or company executives.

Elon Musk's own holdings will also be subject to a 366-day lock-up period, signaling to investors that he does not intend to sell any of his stake. The offering also includes a 15% over-allotment option (greenshoe mechanism) to meet potential additional market demand.

30% of the allocation offered directly to retail investors

Notably, Nasdaq has amended its rules to permit SpaceX to join the Nasdaq 100 Index within just 15 trading days of its listing, compared to the previous three-month minimum waiting period. FTSE Russell has taken a similar step; S&P Dow Jones Indices is also consulting on rule revisions that, if approved, could pave the way for SpaceX to join the S&P 500.

Bloomberg Intelligence analysts estimate that if S&P follows suit, automatic buying demand from passive funds for SpaceX would approach $20 billion, or roughly a quarter of the offering size.

Meanwhile, SpaceX is considering reserving as much as 30% of the offering—potentially $22.5 billion—for retail investors, upending the traditional IPO practice of institutional-led pricing. This retail allocation is considered "exceptionally high" and is remarkably rare for major Wall Street IPOs.

Trillion-level Valuations Face Scrutiny

However, the US$1.75 trillion valuation has also raised doubts among some analysts. Research firm Morningstar recently released a report assigning a fair value of approximately US$780 billion to SpaceX, less than half of its target IPO valuation.

Morningstar analysts believe the company's AI business faces extreme uncertainty, noting that Grok is not a top-tier large language model and suffers from a clear competitive disadvantage against OpenAI. Meanwhile, long-term space projects such as Starship and space computing centers have lengthy realization cycles and require massive, ongoing R&D investment. Furthermore, Elon Musk's super-voting power may leave minority shareholder interests unprotected, leading to an additional valuation discount.

Financial data shows that full-year revenue for 2025 was US$18.67 billion, up from US$14.02 billion in 2024; however, the company recorded a net loss of US$4.94 billion that year, compared to a net profit of US$791 million in 2024. For the quarter ended March 31, 2026, revenue rose from US$4.07 billion in the same period last year to US$4.69 billion, while the loss per share widened from US$0.18 to US$1.27.

Among its three main business segments, only Starlink's satellite internet is profitable, with revenue reaching US$11.4 billion last year—surpassing the combined revenue of seven major listed satellite communication operators and becoming the company's core cash cow. The launch business grew by only 8% last year, primarily because approximately three-quarters of Falcon 9 missions served internal Starlink deployments rather than external commercial clients. The AI segment remains in a capital-intensive phase, with an operating loss of US$6.355 billion in 2025.

If successfully listed, SpaceX will rank among the world's most valuable companies, influencing investment sentiment in the commercial aerospace and AI infrastructure sectors, and becoming Wall Street's most high-profile 'IPO of the century' following OpenAI and Anthropic.

Elon Musk’s Wealth Empire Expands Further

Elon Musk's current net worth is approximately $970 billion, primarily derived from his holdings in companies such as Tesla and SpaceX. If this SpaceX IPO is successfully completed, his net worth will swell further.

According to calculations by The Wall Street Journal, since founding his first company in 1995, Musk’s pace of wealth accumulation over the past 31 years has been staggering, increasing by an average of about $59,000 per minute. This translates to Musk earning approximately $3.6 million per hour, $85.7 million per day, and as much as $31.3 billion per year.

Based on the 2024 median U.S. household income of $83,730, an average American family would need to work for more than 11 million years to amass Musk's current fortune. His net worth has significantly surpassed that of several other tech billionaires, including Amazon ( AMZN) founder Jeff Bezos, Oracle ( ORCL) founder Larry Ellison, and Meta ( META) CEO Mark Zuckerberg; the combined assets of these three still fall short of Musk's current net worth.

Musk's scale of wealth is also nearing national levels, with a net worth equivalent to approximately 3% of U.S. GDP and exceeding the annual GDP of 125 countries globally, including Norway, Thailand, Argentina, and South Africa.