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SpaceX world's most valuable private startup with $350bn valuation: BBG

Published 12/11/2024, 07:10 AM
© Reuters.

Investing.com -- SpaceX and its investors have reached an agreement to purchase up to $1.25 billion worth of insider shares, valuing Elon Musk's rocket and satellite company at approximately $350 billion, according to an internal email reviewed by Bloomberg.

The agreed price of $185 per share marks a substantial increase from the $112 valuation set less than three months ago, the memo reportedly indicated. SpaceX alone plans to buy back up to $500 million in common stock.

“What’s really crazy about this is that almost no investors wanted to sell shares even at a $350B valuation!” Musk wrote on X following Bloomberg’s report. “SpaceX reduced the amount of shares it bought back from employees in order to allow some new investors in.”

This impressive valuation, which aligns with an earlier Bloomberg report, solidifies SpaceX as the most valuable private startup globally, with a market cap rivaling some of the largest publicly traded companies. It also highlights the post-election surge across Musk’s ventures.

SpaceX has become a leading name in the aerospace sector, launching satellites, cargo, and crewed missions for NASA, the Department of Defense, and private clients. The company is also expanding its Starlink satellite network to provide global internet coverage.

Musk’s companies have experienced substantial growth since the US election, driven by increasing investor interest in his stronger ties with President-elect Donald Trump. Musk's personal fortune has grown to approximately $384 billion, according to the Bloomberg Billionaires Index.

The transaction, structured as a secondary or tender offer, allows employees and early shareholders of private firms like SpaceX to sell shares and access liquidity.

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