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SpaceX’s next-generation Starship spacecraft is launched for its sixth test atop its powerful Super Heavy rocket at the company’s Boca Chica launch pad in Brownsville, Texas, on November 19, 2024.
Joe Skipper | Reuters
assessment of Elon Musk’s SpaceX raised $350 billion based on its second share sale, CNBC confirmed Wednesday.
SpaceX, as well as investors, agreed to buy a share of the company for $1.25 billion in a takeover bid, according to copies of the offer obtained by CNBC. The round does not include raising new capital, as the takeover offer involves a secondary sale of existing shares.
Notably, SpaceX is buying up to $500 million in common stock as part of the offering, a rare stock buyback that demonstrates the strength of the privately held company’s financial position.
The company routinely holds these secondary rounds – twice a year – to allow employees and other shareholders to sell shares. The latest valuation represents a 67% upside for SpaceX a previous high of $210 billionwhich the company obtained through the sale of secondary shares in June.
SpaceX’s rising valuation comes as the company increases its dominant position in the space industry, while Musk holds it. become an influential person in the upcoming presidential administration.
The space company has a near-monopoly on the US satellite launch market horse Falcon rocketsas his rivals have been struggling to compete with field operational rockets.
SpaceX’s Starlink satellite internet business is a key economic driver for the company, with around 7,000 satellites launched to date and a service boasting. about five million subscribers.
In the meantime, it’s awesome starship continues to progress through flight testing, representing an attempt to create a next-generation reusable rocket of unprecedented scale and power.
SpaceX’s latest valuation puts the company above the market value of major US defense contractors. Among US companies in the S&P 500, SpaceX would rank in the top 25 by market capitalization, Johnson & Johnson and Bank of AmericaAccording to FactSet.
The company did not immediately respond to CNBC’s request for comment on the sale process. Bloomberg first reported SpaceX’s $185 share price.
Musk, responding to a social media post about the SpaceX stock sale, wrote that “almost no investors wanted to sell shares” at the new $350 billion valuation.
“SpaceX reduced the number of shares it bought from employees to bring in some new investors,” Musk. he wrote.
