SpaceX has lowered its IPO target valuation from $2 trillion to $1.8 trillion; even so, it is still expected to become the largest IPO in history. The company plans to launch its roadshow as early as June 4 local time and complete pricing by June 11, although the schedule may be delayed by several days. Relevant discussions are ongoing, and it is not ruled out that the valuation may be adjusted again based on investor feedback.

Written by: Li Jia

Source: Wall Street View

SpaceX's IPO target valuation has cooled; even so, its fundraising scale and market influence may still be epic.

According to Bloomberg, SpaceX has lowered its target valuation for the initial public offering (IPO) from the previously expected over $2 trillion to at least $1.8 trillion. This adjustment reflects a more cautious revision of pricing expectations after ongoing consultations with the advisory team and potential investors before the official roadshow begins. Despite the lowered target valuation, the IPO is still expected to become the largest listing transaction in history.

Reports cite informed sources that SpaceX plans to launch the formal roadshow as early as June 4 local time, and to complete pricing by June 11 at the earliest; however, there is a possibility of several days' delay in the schedule. The informed sources also stated that relevant consultations are ongoing, and the company may raise the target valuation again during the roadshow based on actual feedback from investors. It should be noted that key details such as the scale and valuation of the IPO are typically dynamically adjusted based on feedback before pricing; this reduction is part of the normal market process.

SpaceX plans to raise up to $75 billion through this IPO, and if completed as scheduled, it will set a record for global IPO fundraising scale. The company intends to list on the NASDAQ and Nasdaq Texas, with the stock ticker "SPCX." Goldman Sachs, Morgan Stanley, Bank of America, Citigroup, and JPMorgan Chase serve as the lead underwriters for this IPO, with another 18 banks participating.

SpaceX's Cross-Industry Narrative: Rockets, Satellites, and Artificial Intelligence

According to the IPO prospectus submitted by SpaceX on May 20, the company's revenue is expected to reach $18.7 billion in 2025, up from $14 billion the previous year. However, profitability has reversed: the net profit for 2024 is projected to be $791 million, but it will turn into a net loss of $4.94 billion in 2025.

The prospectus shows that SpaceX's business positioning has expanded from reusable rocket manufacturing and satellite internet services to the field of artificial intelligence services and infrastructure, and proposed the concept of orbital data centers, with a total market size expected to reach up to $28.5 trillion.

In February this year, SpaceX announced the acquisition of xAI, a company owned by Musk, which has the Grok chatbot and the social media platform X. According to Bloomberg, when the deal is completed, SpaceX's valuation is approximately $1 trillion, while xAI's valuation is about $250 billion.

This acquisition marks a further deepening of SpaceX's strategic layout in the field of artificial intelligence and provides important support for its narrative of transitioning to AI infrastructure.