SpaceX Shareholders Approve 5-for-1 Stock Split Ahead of Planned Public Offering

SpaceX Announces 5-for-1 Stock Split Ahead of Anticipated IPO

SpaceX has informed investors that it is moving forward with a 5-for-1 stock split, a decision that will reduce the price of each share offered in its impending initial public offering (IPO). This development comes as the company prepares to file publicly for its long-awaited IPO, with Bloomberg reporting that the filing could occur as soon as Wednesday.

As a result of the stock split, the current fair market value per share has been adjusted to approximately $105.32 from $526.59, according to sources familiar with the matter. The stock split is scheduled to be processed the week of May 18 and is expected to be completed by May 22.

SpaceX's decision to execute a stock split is likely aimed at making the company's shares more attractive to retail investors, a constituency that Elon Musk has long courted through his involvement with Tesla Inc. The electric-car maker itself underwent a stock split in August 2022, and had previously split its shares two years earlier.

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The company's IPO is expected to be highly sought after, with SpaceX aiming to raise as much as $75 billion at a valuation of over $2 trillion. This would make it the largest IPO of all time, surpassing any previous record. However, details of the IPO, including the size and timing, could still change.

Timing of IPO

SpaceX plans to kick off formal marketing for the stock sale as soon as June 4, with the company aiming to price its initial public offering as early as June 11. The shares are expected to list on June 12.

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