SpaceX plans to sell $200 billion worth of shares

 Bloomberg reported that SpaceX, owned by Elon Musk, has initiated discussions about selling existing shares at a price that could value the closely held company at roughly $200 billion1. SpaceX is discussing a tender offer, which is a transaction that enables employees and insiders like investors to sell shares. This tender offer may kick off in June. While the price for the upcoming tender offer hasn’t been decided yet, SpaceX is considering offering shares at a price ranging between $108 and $110 per share.

A tender offer is a way to purchase some or all of the shareholders’ shares in a company. It is publicly presented, and shareholders are invited to sell their shares at a specified price within a certain timeframe. Typically, the offered price is higher than the market price and depends on the minimum or maximum number of shares being sold. The final terms are still being worked out, and the size of the tender offer may change based on interest from both insider sellers and buyers.

Elon Musk posted on Twitter, “We do liquidity rounds for employees and investors every ~6 months,” indicating that SpaceX doesn’t need additional capital and will buy back shares. A $200 billion valuation would be a premium compared to the $180 billion valuation the company obtained through its most recent tender offer. In fact, SpaceX is now on par with some of the world’s largest publicly traded companies in terms of market capitalization.

Representatives for SpaceX, formally known as Space Exploration Technologies Corp., haven’t immediately responded to requests for comment. It’s fascinating to see how SpaceX’s growth trajectory continue
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