SpaceX, the private aerospace manufacturer and space transportation company, is moving closer to a staggering valuation of $150 billion after announcing an agreement to sell up to $750 million in stock to both new and existing investors.
The deal, which was announced Thursday, was arranged based on a price of $81 per share. This new share price represents a 5% increase from the company's prior secondary stock sale, which was held at $77 per share. As a result, this increased share price is pushing the company's valuation close to $140 billion.
The development is noteworthy due to SpaceX's choice not to make an initial public offering (IPO). Instead, the company typically conducts secondary stock-selling rounds for employees and shareholders twice a year. This approach allows SpaceX to raise capital without exposing itself to the pressures and responsibilities that come with public company status, thereby enabling it to continue to pursue its ambitious and long-term objectives.
SpaceX is led by CEO Elon Musk, who is known for his ambitious vision for space exploration. The company has made significant progress in recent years, developing a reusable rocket system that has revolutionized the launch industry. SpaceX is also developing the Starship rocket, which is designed to carry both crew and cargo to Earth orbit, the Moon, and Mars.
The Starship project is one of the most ambitious in the history of space exploration. However, it has also been met with challenges. In April, a Starship prototype exploded during a test flight. The company is currently working to address the issue and is hoping to launch Starship into orbit in 2023.
Despite the challenges, SpaceX remains optimistic about the future of Starship. The company believes that the rocket has the potential to revolutionize space travel and make it possible for humans to live on other planets.
The recent stock sale is a sign of confidence in SpaceX's future. The company has attracted a large number of investors who believe in its mission and its ability to achieve its goals. With this additional capital, SpaceX is well-positioned to continue its work on Starship and other ambitious projects.