SpaceX files confidentially for IPO in bid for record-breaking listing

Elon Musk's SpaceX has confidentially filed for a US initial public offering, sources confirmed, setting the stage for what could become the largest stock market listing on record.

SpaceX puts more rockets in space than any other company and promises a chance to invest in humanity's return to the moon and attempt to colonise Mars.

The company aspires to put AI data centres in space while running a lucrative satellite communications system that opens up much of the earth to the internet and is increasingly used in war.

A public listing at a potential valuation of more than $1.75-trillion comes after SpaceX merged with Musk's AI start-up xAI in a deal that valued the rocket company at $1-trillion and the developer of the Grok chatbot at $250bn.

SpaceX is hosting an analyst day on April 21, encouraging research analysts to attend in person, according to a person familiar with the matter, who requested anonymity to discuss confidential information.

The company is also offering analysts an optional visit to xAI's "Macrohard" data centre site in Memphis, Tennessee, on April 23, and plans to hold a virtual session on May 4 to discuss financial models with banks' research analysts, the source said.

Valuing the conglomerate is no simple task, but Musk's leadership makes it easy for some investors.

"Investors could use a sum-of-the-parts analysis, but, like with Tesla, SpaceX's valuation could very much fluctuate wildly based off how much the public believes in Musk's vision," said Angelo Bochanis, data and index associate at Renaissance Capital, a provider of IPO-focused research and ETFs.

"So far, investors seem to be clamouring for any sort of exposure to SpaceX."

SpaceX did not immediately respond to a Reuters request for comment.

The Starbase, Texas-headquartered firm could seek to raise more than $50bn in the IPO, surpassing the 2019 flotation of Saudi Aramco, which remains the largest IPO on record.

A blockbuster SpaceX debut could jolt the IPO market back to life after years of subdued activity, with market participants expecting strong demand from both retail and institutional investors, some drawn by Musk's brand and others seeking exposure to SpaceX's fast-growing space and satellite businesses.

SpaceX is the world's most valuable privately held company, based on the valuation implied by its merger deal with xAI. The rocket start-up was last valued at about $800bn in a secondary share sale.

Several other high-profile start-ups, including ChatGPT maker OpenAI and rival Anthropic, are also said to be weighing large IPOs, setting up a broader test of investor appetite for new listings.

Many large start-ups have remained private for longer, tapping deep pools of capital in private markets, but a listing by a company such as SpaceX could encourage more of them to pursue public offerings.

Bloomberg News first reported on the confidential filing earlier on Wednesday.

A confidential filing allows a company to submit IPO documents to regulators privately, giving it time to address feedback and refine disclosures away from public scrutiny.

A listing would deepen analyst and investor scrutiny of "Muskonomy" -- the billionaire's sprawling business empire and intertwined fortunes -- bringing renewed focus to how his companies are financed, governed and valued across markets.

"A likely dual-class share structure would let Musk tap public capital while retaining firm control, even after the substantial dilution that comes with a public offering," said Minmo Gahng, assistant professor of finance at Cornell University.

He runs electric vehicle maker Tesla, brain-chip maker Neuralink and tunnel-digging firm The Boring Company.

Musk also folded social media platform X into xAI through a share swap last year, giving the AI start-up access to the platform's data and distribution network.

Questions about Musk's ability to oversee multiple companies with market values exceeding $1-trillion could temper investor enthusiasm, analysts say.

"It is understandable that investors would be concerned with Musk overseeing multiple significant enterprises, especially given his polarising public profile at times. However, SpaceX appears somewhat differentiated," said Kat Liu, vice-president at IPOX.

"The business is operationally mature, technologically ahead in several key areas, and profitable, which provides a solid fundamental underpinning."

The move comes as Nasa is set to launch four astronauts as soon as Wednesday evening on a 10-day flight around the moon, marking the most ambitious US space mission in decades.

SpaceX generated about $8bn in profit on $15bn to $16bn of revenue last year, Reuters reported in January, citing people familiar with the matter.

Space stocks jumped on the news, with Intuitive Machines last up 11%, while Planet Labs, AST SpaceMobile and Rocket Lab added between 6% and 10%.

As Nasa leans more on commercial partners and defence budgets climb, space is emerging as a strategic battleground shaped by technological edge, national security priorities and the promise of new economic gains.

SpaceX has also sought permission to launch up to 1-million solar‑powered satellites engineered as orbital data centres, far beyond anything currently deployed or proposed.

Nasa engineers and technologists have speculated for nearly two decades about moving energy-hungry computing off the planet.

SpaceX's merger with xAI has drawn investor attention to how Musk could use a tightly integrated network of rockets, satellites and AI systems to overcome technical and capital hurdles, extending AI infrastructure beyond Earth.

AI has become Wall Street's favourite theme, with anything tied to AI helping fuel a powerful rally in technology stocks and lifting valuations across the sector.