SpaceX IPO details and risks outlined for potential investors
9 reported1 unconfirmed
SpaceX shares will be listed on the Nasdaq in New York, and the company is expected to set the official share price on June 11 based on investor interest. In the UK, platforms including AJ Bell and Hargreaves Lansdown are offering clients the chance to bid for shares, while US investors can buy through Charles Schwab, Fidelity, Robinhood, SoFi Technologies, and Morgan Stanley’s E*Trade. Minimum subscriptions are typically about £1,000, with applications closing the following Wednesday. If the IPO is oversubscribed, it is not yet clear how shares will be allocated, and some investors may receive nothing. Elon Musk is not selling any of his shares and will retain 82.4% of the voting power in the company. Analysts cited in the report note potential risks including launch failures, regulatory changes, competitors catching up, and Musk making controversial statements that could tarnish the company’s reputation. The report also states that SpaceX appears overvalued at the IPO price and that buying individual shares is always higher risk than investing through a fund.
What’s reported
SpaceX shares will be listed on the Nasdaq in New York.
The official share price will be set on June 11 based on investor interest.
UK platforms AJ Bell and Hargreaves Lansdown are offering clients the chance to bid for shares.
US platforms include Charles Schwab, Fidelity, Robinhood, SoFi Technologies, and Morgan Stanley’s E*Trade.
Minimum subscriptions are typically about £1,000, with applications closing next Wednesday.
If oversubscribed, allocation method is not yet clear; some investors may get nothing.
Elon Musk will retain 82.4% of the voting power and is not selling any shares.
Potential risks include launch failures, regulatory changes, competitors, and Musk’s controversial statements.
The report says SpaceX appears overvalued at the IPO price.
Open questions
How shares will be allocated if the IPO is oversubscribed.
Key figures
Elon Musk, retains 82.4% voting power
Jason Hollands, managing director of BestInvest
Dan Coatsworth, head of markets at AJ Bell
Nils Pratley, journalist cited in the report
Sources: The Guardian
