Imagine joining a start-up when it was still trying to prove itself, accepting stock options instead of a bigger salary, and then waking up one day to find those shares are worth millions.
That is the reality many SpaceX employees could soon face.
As ‘s rocket company prepares for what could be the biggest stock market debut in history, thousands of current and former employees stand to benefit enormously. If SpaceX goes public at the expected valuation, it will not only create wealth for investors and executives but could also turn many ordinary employees into millionaires.
SpaceX is expected to (IPO) at a price of around $135 per share. At that level, the company would be valued at approximately $1.77 trillion.
To put that figure into perspective, it would place SpaceX among the most valuable companies in the world.
The company is also expected to raise as much as $75 billion through the IPO, potentially making it the largest stock market listing ever.
One of the most striking aspects of the planned IPO is how many employees are expected to benefit.
According to estimates reported by The New York Times, more than 4,400 current and former SpaceX employees could hold stock worth at least $1 million after the company lists on the stock market.
Even more remarkable, around 400 employees could end up with holdings valued at more than $100 million.
That is highly unusual in the corporate world, where IPO windfalls are often concentrated among founders and a small group of senior executives.
A key reason behind this wealth creation is SpaceX’s approach to compensation.
Unlike many companies that rely heavily on cash salaries, SpaceX has historically rewarded employees with significant equity stakes. In simple terms, workers received ownership in the company alongside their pay.
As the company’s valuation surged over the years, those shares became increasingly valuable.
For employees who joined early, the rewards could be life-changing.
Trevor Hise, who joined SpaceX in 2011, offers a good example of how valuable those shares have become.
At the time, SpaceX was still a much smaller company and far from the global space leader it is today. As part of his compensation package, he received more than 100,000 shares.
If the IPO is priced at $135 per share, those holdings could be worth at least $13.5 million, the report mentioned.
Stories like his help explain why the planned listing is attracting so much attention among current and former employees.
The wealth generated by the IPO may not be confined to investment accounts.
Economists believe a successful listing could have a ripple effect on sectors such as housing and real estate.
In other words, newly wealthy employees may begin buying homes, investing in property or spending more broadly across the economy.
The IPO may also be more accessible to ordinary investors than many previous high-profile listings.
Typically, investors need very large account balances, sometimes between $100,000 and $500,000, to qualify for IPO share allocations.
However, reports suggest that investors with as little as $2,000 in their Fidelity accounts could be eligible to participate in the SpaceX offering.
In addition, as much as 30% of the IPO shares could reportedly be reserved for retail investors, significantly higher than the 5% to 10% allocation often seen in major listings.
Meanwhile, the biggest winner, of course, would be Elon Musk himself.
Musk reportedly owns about 42% of SpaceX. At a valuation of $1.77 trillion, his stake alone would be worth roughly $740 billion, mentioned report.
That would further cement his position as one of the wealthiest individuals in the world.
In other words, SpaceX’s planned IPO is not just another stock market event. It is shaping up to be a wealth-creation story on a scale rarely seen before.