SpaceX IPO Targets $75 Billion, Allocating Up to 30% of Shares to Retail Investors - FinanceFeeds

SpaceX is preparing to allocate an unusually large portion of its upcoming IPO to retail investors, according to details shared with its banking syndicate. The plan marks a departure from traditional public offerings, where retail participation is typically limited to a small fraction of total shares.

At a meeting with bankers, the company indicated that retail investors will play a central role in the offering, with a dedicated event planned to host 1,500 individuals in June following the IPO roadshow launch.

"Retail is going to be a critical part of this and a bigger part than any IPO in history," Chief Financial Officer Bret Johnsen said during the meeting, according to people familiar with the discussion.

He added that the approach is intentional, noting that these investors have been long-term supporters of both the company and its founder.

Founder Elon Musk has previously pushed for allocating up to 30% of shares to smaller investors, compared with the 5% to 10% range typical in most IPOs.

The IPO is expected to raise around $75 billion, implying a valuation of up to $1.75 trillion. If achieved, this would make it the largest initial public offering on record.

The company plans to launch its roadshow in the week of June 8, with meetings scheduled between executives, bankers, and institutional investors. A group of approximately 125 analysts from the 21 participating banks is expected to meet with SpaceX ahead of the roadshow.

Retail investors across multiple regions, including the US, UK, EU, Australia, Canada, Japan, and Korea, are expected to have access to the offering.

The structure of the deal and the final size of the retail allocation are still being finalized, with more details expected closer to the IPO launch. The company is also preparing to publish its prospectus in late May.

The targeted valuation represents a sharp increase from recent private market benchmarks. SpaceX was valued at around $800 billion in its December 2025 tender offer, which allowed employees and existing investors to sell shares in the secondary market.

The company's valuation rose further after its merger with Musk's artificial intelligence venture xAI earlier this year, bringing the combined valuation to approximately $1.25 trillion.

The IPO target of $1.75 trillion would extend that trajectory, reflecting expectations of continued growth across launch services, satellite infrastructure, and related technologies.

SpaceX's approach signals a potential shift in how large technology IPOs are structured. By expanding retail access across multiple regions and dedicating a substantial share of the offering to individual investors, the company is testing whether broader participation can coexist with large-scale capital raising.

One of the lead underwriters indicated that the scale of retail demand and allocation could exceed anything previously seen in public markets.

Major banks, including Morgan Stanley, Bank of America, Citigroup, JP Morgan, and Goldman Sachs, are leading the deal, supported by 16 additional institutions covering global distribution channels.

The outcome of the offering may influence how future high-profile listings balance institutional and retail demand, particularly if the structure affects pricing efficiency or post-listing liquidity.