SpaceX shares surge 11% on Nasdaq debut as Musk nears trillionaire status
The aerospace giant’s historic $75 billion listing opens at $150, driven by tight supply and index rule changes, while early investors reap billions in returns.
SpaceX commenced trading on the Nasdaq on Friday, marking the debut of what is being described as the most anticipated initial public offering in history. The shares opened at $150, an 11% increase above the fixed offering price of $135 set on Thursday. The listing, which raised approximately $75 billion, positions the company with a post-IPO valuation of around $1.77 trillion.
The strong opening price reflects intense institutional demand that exceeded available allocations. According to Bloomberg, the offering was oversubscribed by four times. This demand is further amplified by a small public float of approximately 4%, with the majority of shares held by early investors and employees. Additionally, SpaceX successfully lobbied for changes to index inclusion rules, such as those for the Nasdaq 100, allowing immediate inclusion rather than the standard waiting period. This structural change has accelerated buying pressure from large institutions and funds.
The listing has generated significant windfalls for venture capital firms that backed the company early on. Founders Fund, which holds a 3% stake and invested $600 million, is estimated to have seen returns exceed $50 billion at the offering price. Andreessen Horowitz’s stake is valued at over $10 billion, while Sequoia’s holding is worth more than $20 billion.
For the 2025 financial year, SpaceX reported revenue of $18.67 billion, driven largely by its Starlink satellite internet service, which contributed over $11 billion. However, the company recorded a net loss exceeding $4.9 billion alongside capital expenditures of $20.7 billion, highlighting a business model that prioritises growth over immediate profitability.
The valuation surge has reportedly made founder Elon Musk the world’s first trillionaire, as he retains control of the company through 85% of the voting shares. The New York Times reported that approximately 4,400 current and former employees will become millionaires from the listing, with around 400 becoming centimillionaires.
Concurrently with the SpaceX debut, US stock markets rose on hopes of an interim peace deal between the United States and Iran regarding the Strait of Hormuz. The geopolitical developments contributed to broader market optimism as the aerospace giant began its public trading life under the ticker symbol SPCX.
