SpaceX valued at $200bn
July 1, 2024
By Chris Forrester
SpaceX is contemplating another fundraising operation by selling shares in a tender offer that could value the closely held company at roughly $200 billion (€185.7bn), according to Bloomberg.
SpaceX is reportedly discussing a tender offer — a transaction that enables employees and insiders like investors to sell shares — that may kick in days, said some of the people, who asked not to be identified because the information is confidential. The price for the upcoming tender offer hasn’t been decided but SpaceX is weighing offering shares at $108 to $112 apiece.
The last sell-off of shares valued SpaceX at around $180 billion.
SpaceX has frequently been said to be contemplating an Initial Public Offering (IPO) but both Elon Musk and President and COO of SpaceX Gwynne Shotwell have said “not yet” when specifically asked about an IPO.
Musk’s view is that an IPO and obligatory stock market listing places an unnecessary work-load on a business. Last week he said: “The legal load and pressure for short-term results for a public company are very high,” perhaps reflecting on the challenges he experienced in getting shareholders to approve his $56 billion compensation package on his Tesla shareholding.
According to numerous sources SpaceX achieved cashflow breakeven in November 2o23. Musk stated that SpaceX had “no need for additional capacity and will actually be buying back shares.” He said liquidity rounds for investors and employees are held around every six months.
Bloomberg added that SpaceX probably booked revenues of $9 billion in 2023 for its rocket launch and Starlink broadband service, which provides low-cost internet in remote locations.