Quick overview
- SpaceX’s IPO has attracted significant demand from institutional investors, with orders exceeding available shares.
- The IPO price is set at $135 per share for 555.6 million shares, aiming to raise around $75 billion and valuing the company at approximately $1.8 trillion.
- Retail investors can still place orders for shares after the Wednesday deadline, with up to 30% of the offering allocated to them.
- Banks managing the IPO reported increased demand and are expected to stop accepting orders from institutional investors soon.
SpaceX’s IPO has drawn demand from institutional investors for several times the number of available shares as the launch of the Elon Musk-led rocket, satellite, and artificial intelligence company draws near.
Banks can assess demand before listing and provide pricing advice to the company by closing the order books. The price of SpaceX’s IPO is scheduled for June 11, and trading will begin the day after. At a fixed price of $135 per share, the company is offering 555.6 million shares, raising approximately $75 billion and valued at approximately $1.8 trillion. On certain platforms, retail investors can still place orders for SpaceX shares after the Wednesday deadline. According to Bloomberg News, the company is allocating up to 30% of the offering to retail.
Banks in charge of the IPO informed investors early on Tuesday that the offering has seen increased demand from meetings with management. According to the people, there have been more share orders since Monday. According to Bloomberg News at the time, banks claimed the offering was significantly oversubscribed.
The banks have separately stated that large long-only investment management firms will receive the majority of the allocations to the institutional portion of the offering. According to Bloomberg News, several institutional investors ordered shares worth at least $10 billion apiece. It is anticipated that the banks will cease accepting orders.
Orders for shares worth at least $10 billion were placed. , The banks are anticipated to cease accepting orders from institutional investors. On Wednesday, according to those with knowledge of the situation. The price of SpaceX’s IPO is scheduled for June 11, and trading will begin the day after.
The company is offering 555.6 million shares at a fixed price of $135 per share, raising approximately $75 billion and valued at approximately $1.8 trillion. On certain platforms, retail investors can still place orders for SpaceX shares after the Wednesday deadline. The company is allocating up to 30% of the offering to retail.
Olumide Adesina
Financial Market Writer
Olumide Adesina is a French-born Nigerian financial writer. He tracks the financial markets with over 15 years of working experience in investment trading.
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