Elon Musk’s SpaceX is seeking an initial public offering (IPO) next year, aiming to raise more than $25 billion, at a valuation north of $1 trillion, according to a source familiar with the matter who spoke to Reuters on Tuesday.
SpaceX has begun discussions with banks about the IPO, which could happen around June or July, the source said.
Musk had commented in 2020 that SpaceX planned to list Starlink in several years, once its revenue growth was “smooth and predictable.”
SpaceX did not immediately respond to Reuters’ request for comment.
Saudi Arabia’s Aramco remains the only completed IPO to have reached a valuation of $1 trillion or more: It debuted in December 2019 with an estimated market capitalization of $1.7 trillion.
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SpaceX hopes to use the funds from the public offering to develop space-based data centers, including purchasing the chips needed to operate them, an idea Musk expressed during a recent event with Baron Capital, according to Bloomberg News, which had reported the development earlier in the day.
The company is expected to generate around $15 billion in revenue in 2025, rising to between $22 billion and $24 billion in 2026, with the majority coming from Starlink, according to Bloomberg.
Media reports last week indicated that the rocket maker is launching a secondary stock sale that would value it at $800 billion, pitting it against OpenAI for the title of most valuable private company. However, Musk on Saturday dismissed the reports, calling them inaccurate.
With information from Reuters
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