SpaceX is accelerating plans for its initial public offering (IPO), with investor briefings scheduled for April and a groundbreaking proposal to allocate up to 30% of shares to retail investors. This retail allocation is significantly higher than the typical 5-10% seen in major IPOs, reflecting a strategic move by CEO Elon Musk to tap into his loyal fanbase and individual investor demand.
According to reports from Reuters and Bloomberg, the company could file its confidential IPO prospectus with regulators as early as this week or next. The public debut is potentially targeted for June. The offering is expected to be one of the largest on record, with Bloomberg reporting it could raise as much as $75 billion and value SpaceX at approximately $1.75 trillion. At that valuation, SpaceX would rank among the largest publicly traded U.S. companies, surpassing the market values of both Tesla and Meta Platforms.
The distribution of shares is being carefully orchestrated, with major banks assigned specific roles. Bank of America is expected to focus on domestic retail distribution, targeting high-net-worth individuals and family offices in the United States. Morgan Stanley will handle smaller-ticket retail buyers through its E*Trade platform. UBS and Citi are tasked with managing international retail and institutional distribution. This structured approach gives SpaceX greater control over the marketing and distribution of the deal.
The push for a large retail allocation is seen as an effort to build a stable, long-term shareholder base from the outset. The company reportedly views retail demand as a source of stability post-listing, as individual investors are perceived to be more likely to hold shares rather than trade them quickly after the debut. This strategy leverages Musk's significant profile and the strong secondary market demand that has existed for SpaceX shares prior to the IPO.
