SpaceX’s record IPO pushed Elon Musk past the trillion-dollar mark, making him the first person known to reach that level of wealth.
Key Points:
- SpaceX raised $75B in its initial public offering Thursday.
- Musk’s fortune is expected to exceed $1.1 Trillion when trading begins Friday.
- Investors are pricing in both SpaceX’s growth prospects and Musk’s influence.
SpaceX IPO
SpaceX raised $75 billion in its initial public offering Thursday, underscoring investor demand for the rocket, satellite and AI company at the center of Musk’s business empire.
Before the sale, Forbes put Musk’s net worth at about $780 billion, far ahead of Larry Page, while Reuters calculations based on filings show his fortune exceeding $1.1 trillion after trading begins Friday.
“The second richest person has been hovering around $300 billion,” said Matt Durot, deputy editor at Forbes Wealth, adding that only Larry Ellison had previously crossed $400 billion.
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Musk Premium
Musk, 54, built his profile through Tesla and SpaceX, then expanded his reach with the $44 billion purchase of Twitter in 2022.
Investors now treat SpaceX as another wager on Musk’s ability to turn expensive, long-range projects into major companies, though the business remains cash-hungry and relies on technologies that may take years to mature.
“Much like Tesla, SpaceX is a bet on Elon Musk,” said Matt Kennedy of Renaissance Capital, calling the valuation an “Elon Musk premium.”
Musk’s recent record also includes governance fights, his $56 billion Tesla pay dispute, weaker overseas Tesla sales and political blowback from his role in Donald Trump’s Department of Government Efficiency.
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