Musk's SpaceX plans share sale valuing firm at nearly $400 billion

By Loren Grush, Katie Roof and Ed Ludlow

 

Elon Musk’s SpaceX is planning an insider share sale that would value the company at about $400 billion, according to people familiar with the matter. 

 

The deal marks a rapidly climbing value for Musk’s rocket and satellite maker, and cements SpaceX’s status as the most valuable private startup in the world. 

 

The per-share price of $212 is up substantially from the $185 set in a prior transaction that valued SpaceX at $350 billion in December, said the people, who spoke on condition of anonymity because the matter is confidential. 

 

A SpaceX representative didn’t immediately respond to a request for comment.

 

In addition to its high-profile Starship rocket program and workhorse Falcon vehicles, SpaceX operates the Starlink satellite internet unit, which people familiar with the matter said accounts for more than half of the company’s annual revenue.

 

As part of the deal, first reported by Bloomberg, certain shareholders will be allowed to sell stakes in the company — an increasingly popular option for startups that are staying private longer, but want to give early employees and investors a chance to cash out.  

 

SpaceX will buy back as much as $1.25 billion worth of shares from staff and other holders, one of the people added.

 

At the same time that SpaceX is making deals with investors, Musk is also raising money for his artificial intelligence startup, XAI Holdings. That company is in talks to bring in $10 billion at a valuation of as much as $200 billion, Bloomberg previously reported.