Elon Musk’s SpaceX’s valuation hit $100 billion, following a secondary share sale by investors, CNBC reports.
SpaceX has an agreement with new and existing investors to sell up to $755 million in stock from insiders at $560 a share, CNBC reports, citing multiple people familiar with the deal – which increased the company’s valuation to $100.3 billion. The company did not raise new capital at this time, sources said, with the purchase offer representing a secondary sale of existing shares, according to CNBC.
The new share price is a 33% increase from SpaceX’s last valuation of $74 billion at $419.99 a share in February when the company raised nearly $1.2 billion, CNBC reports. The company had a similar secondary transaction in February, with a deal for insiders to sell up to $750 million at the time.
This new valuation makes Musk’s SpaceX the second most valuable private company in the world, according to CB Insights, behind only China’s Bytedance and jumping past fintech firm Stripe, CNBC reports.
Last month, SpaceX launched the Inspiration4 mission — the world’s first all-civilian human spaceflight to orbit — aboard SpaceX’s Falcon 9 rocket and Dragon spacecraft from NASA’s Kennedy Space Center in Florida. The mission took four civilians 360 miles from Earth for three days.
“The reason I started SpaceX was to get humanity to Mars. I want to make the dream of space accessible to anyone and ultimately making science fiction not fiction,” Musk said in a Netflix video on Twitter last month.
The company’s valuation has soared in the last few years as SpaceX has raised billions to fund work on two capital-intensive projects: Starship and Starlink, CNBC reports.
Starlink is now delivering initial beta service both domestically and internationally and will continue expansion to near-global coverage of the populated world in 2021, according to the company’s website.
SpaceX’s Starship spacecraft and Super Heavy rocket (collectively referred to as Starship) represent a fully reusable transportation system designed to carry both crew and cargo to Earth orbit, the Moon, Mars and beyond, according to its website. Starship will be the world’s most powerful launch vehicle ever developed, with the ability to carry in excess of 100 metric tons to Earth orbit.