Elon Musk, the world's richest person, is closing in on becoming history's first trillionaire. As SpaceX, the space company led by Musk, pursues the largest initial public offering ever with a target valuation of $1.75 trillion (approximately 2,665 trillion won), forecasts suggest his net worth could surpass $1 trillion.
According to Reuters on Tuesday local time, SpaceX plans to set its IPO price at $135 per share. The company aims to issue a total of 555.6 million shares to raise $75 billion (approximately 114 trillion won), targeting a valuation of $1.75 trillion. SpaceX will begin its investor roadshow on Tuesday and is expected to commence trading on the Nasdaq under the ticker "SPCX" on November 12.
Fixing a specific offering price before the roadshow even begins is considered highly unusual. Companies pursuing large IPOs typically present an indicative price range first, but SpaceX has put forward its target offering price upfront.
The fact that the listing is being pursued entirely through new share issuance is also drawing attention. While large IPOs often combine new share issuance with secondary offerings of existing shares, SpaceX has chosen only the new share issuance method, ensuring that all proceeds flow directly to the company.
The listing has refocused attention on the scale of Musk's wealth. According to The Wall Street Journal (WSJ), Musk's current paper net worth is estimated at approximately $970 billion (approximately 1,477 trillion won). The figure combines his pre-IPO SpaceX stake worth $538 billion with his Tesla holdings valued at $167 billion, among others. If SpaceX lists at its target valuation of $1.75 trillion, the value of Musk's stake alone is expected to exceed $700 billion. Given this, his net worth is likely to surpass $1 trillion. The WSJ reported, "Assuming Musk has been accumulating wealth since co-founding his first company in 1995, he has earned $59,492 per minute (approximately 90 million won) and roughly $3.6 million per hour (approximately 5.5 billion won)."
However, some argue that SpaceX's valuation is excessive. Morningstar valued the company's fair worth at $780 billion (approximately 1,190 trillion won), saying SpaceX's technology and business viability have yet to be proven. That is less than half the company's target. Analyst Nicolas Owens said, "SpaceX is significantly overvalued," forecasting a share price decline immediately after the listing.
