Goldman Sachs Selected to Lead SpaceX's Mega-IPO Bank Syndicate
SpaceX's Historic IPO: Goldman Sachs Takes the Lead
Goldman Sachs Group Inc. is poised to take center stage in the highly anticipated initial public offering (IPO) of Elon Musk's SpaceX, according to individuals familiar with the matter. The firm is expected to play a prominent role in what could be the largest listing in history, with the company seeking a valuation of over $2 trillion.
Joining Goldman Sachs as a lead bank is Morgan Stanley, which will also be involved in the high-profile IPO. Bank of America Corp., Citigroup Inc., and JPMorgan Chase & Co. are listed in alphabetical order on the preliminary prospectus, although the details of the offering are still subject to change.
The position of a bank on the cover of a high-profile IPO can indicate a more active role and potentially a larger share of the fees. Deliberations are ongoing, and the details of the offering could still be altered. The Wall Street Journal was the first to report the lineup.
Read also: Treasury Yields Experience Largest Increase in Two Weeks Following Release of Labor Market Data
Representatives for Goldman Sachs, Morgan Stanley, Bank of America, Citigroup, and JPMorgan declined to comment on the matter. A spokesperson for SpaceX did not immediately respond to requests for comment.
IPO Details
SpaceX's IPO is expected to raise as much as $75 billion, which would surpass Saudi Aramco's $29.4 billion IPO in 2019, according to Bloomberg calculations. The listing is expected to generate significant fees for the banks involved, with Citigroup added to the list of lead banks in March, joining the other four.
| Bank | IPO Size (2019) | SpaceX IPO Size |
|---|---|---|
| Saudi Aramco | $29.4 billion | $75 billion |
| Goldman Sachs (lead) | - | - |
| Morgan Stanley (lead) | - | - |
| Bank of America (lead) | - | - |
| Citigroup (lead) | - | - |
| JPMorgan Chase (lead) | - | - |
Read also: US-Iran Tensions Spark Uptick in Oil Prices Amid Global Market Decline
Numerous other banks have been tapped for roles in the offering, including Barclays Plc, which is handling UK IPO share orders, and Deutsche Bank AG and UBS Group AG, which are working on European orders. Royal Bank of Canada is managing share orders from Canada, Mizuho Financial Group Inc. is working on Asia orders, and Macquarie Group Ltd. is focused on Australia, according to Bloomberg News.
Investor Takeaway
Investors should be aware of the potential for a significant listing and the implications for the market.
More in Market
Treasury Yields Experience Largest Increase in Two Weeks Following Release of Labor Market Data
US-Iran Tensions Spark Uptick in Oil Prices Amid Global Market Decline
Indian Stocks to Watch: BHEL, Agarwal Industrial, JBM Auto, Rajesh Exports, Indian Energy Exchange, Lenskart Solutions in Market Focus on June 4.
