SpaceX's confidential IPO prospectus reveals that CEO Elon Musk is buying private shares – before the Initial Public Offering. | Why? Because he could scoop up more stock far below the $1.75 trillion expected IPO valuation. And you can too. | Go here to get the SpaceX Pre-IPO shares today. | Elon Musk personally spent $1.4 billion last year buying SpaceX shares from current and former employees. | The purchase was made through his personal trust. It's a secondary transaction — not new shares issued by the company — meaning Musk was essentially buying out employees who wanted liquidity before the IPO. | Elon’s timing was great. | SpaceX valuation was $800 billion in December. The company’s market cap climbed to $1.25 trillion after merging with xAI in February. And the latest reports suggest the IPO could value the company at $1.75 trillion or more. | We don't know exactly when Musk bought his shares last year, so his entry price and paper gain are unclear. It’s likely that he purchased shares at or below the $800 billion valuation. The key takeaway is that Elon was adding to his own position ahead of a listing that's now set for late June. | Don’t wait for the Nasdaq listing – click to get your Pre-IPO shares. | The prospectus also revealed a new compensation plan the SpaceX board approved last month. Musk stands to receive 60 million additional shares if the company's market cap climbs from $1.1 trillion to as high as $6.6 trillion — and if SpaceX completes its plan to build data centers in orbit. The shares vest in $500 billion increments along the way. | $6.6 trillion would make SpaceX the most valuable company in the world, roughly double Nvidia’s current market cap. | There's also a separate award of up to 200 million shares tied to hitting stock-price targets and establishing a Mars colony with at least 1 million inhabitants. The prospectus calls the space data center ambitions "in early stages" with "significant technical complexity and unproven technologies." That's the kind of candid language the SEC requires. | On governance: the prospectus confirms SpaceX will use a dual-class share structure. Musk and other insiders will hold Class B shares worth 10 votes each. Public investors buying Class A shares get one vote per share. | SpaceX is now briefing potential investors at its facilities in Tennessee and Texas this week. The roadshow launches the week of June 8. The public listing is expected in late June or early July, raising up to $75 billion at a valuation of up to $1.75 trillion. | More than 99% of investors will wait for the IPO – buying shares after the stock jumps in the market. | Frankly, I'm not waiting for IPO day. | Here's how to get in before the listing. | Ian Wyatt
Editor, IPO Watch |
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