SpaceX launched the biggest-ever initial public offering in the United States at $135 per share, quickly becoming one of the world’s most valuable companies — at a record $1.77 trillion.
The listing raised a record $75 billion from 555.56 million shares and is poised to make CEO the world’s first trillionaire. The world’s richest person is estimated to see his net worth jump to $1.1 trillion after US markets open on Friday once trading begins.
Notably, more than 4,400 current and former employees of the rocket company are also set to reap benefits as the stock could launch them into status, as per a report by the New York Times. An earlier report by Bloomberg estimated that over 3,000 of these employees resided in the Texas town the SpaceX facilities are located.
SpaceX expected to mint new millionaires, billionaires
According to an AFP report, the listing is expected to mint thousands of new millionaires and several billionaires among shareholders, which include former and current employees. While the extended valuation does depend on Elon Musk fulfilling some extravagant promises, the buzz has given momentum.
The NYT reported that employee Trevor Hise, who joined fresh out of college in 2011, refused a job at General Electric in favour of then startup SpaceX. He stayed there for 12 years and has over 1,00,000 shares that at $135 each are expected to be worth around $13.5 million. “The magnitude of this has been ridiculous,” the 37-year-old told NYT.
SpaceX has 22,000 employees, of which more than 4,400 (including former staff) are poised to gain millionaire status in the IPO, the report said, citing analysis by Hill.com. Further, of these, 400 are expected to get $100 million or more.
A SpaceX spokesman did not respond the queries, as per the NYT report.
Elon Musk’s net worth is set to cross $1.1 trillion
Musk meanwhile is set to become the world’s first with expected net worth of over 1.1 trillion — the bulk of this wealth derived from stakes in Tesla and SpaceX ($866 billion worth), besides other properties. This was calculated by the Bloomberg Billionaire’s Index (BBI), Forbes and Reuters, based on company filings, they each said.
Early on 12 June (IST), Bloomberg estimated Musk’s net worth at $971 billion, up a massive $274 billion from the previous day. Over the past year, his valuation has jumped by $351 billion — more than the net worth of the second richest person, ($304 billion net worth).
The Forbes rich list, meanwhile, pegs Elon Musk’s net worth around $794.6 billion at time of writing, up $12.6 billion compared to the previous trading day (US time), and $501.9 billion more than Larry Page, who at second spot is worth $292.7 billion.
“The second richest person has been hovering around $300 billion, so about less than one-third of what Musk can potentially be worth tomorrow. And only one other person, (Oracle founder) , has ever been worth $400 billion,” Matt Durot, deputy editor at Forbes Wealth stated.
Besides and SpaceX, Musk has co-founded five other companies, including tunneling startup The Boring Company and brain implant maker Neuralink.
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