SpaceX mulling tender offer at $200 billion valuation, Bloomberg News reports
7:35 pm Thursday, May 23rd, 2024
(Reuters) -Elon Musk’s SpaceX has initiated discussions about selling existing shares in a deal that could value the company at roughly $200 billion, Bloomberg News reported on Thursday, citing people familiar with the matter.
The valuation would be higher than the $180 billion it had fetched in its previous tender offer, the report said, adding that the shares could be sold at a price ranging from $108 to $110.
SpaceX did not immediately respond to a Reuters request for comment.
“SpaceX has no need for additional capital and will actually be buying back shares,” Musk said in a post on X.
One of the most profitable startups in the world, SpaceX is employing a tactic common among high-profile private companies.
Tender offers allow insiders or employees to sell their shares without the company having to file for an initial public offering.
They can allow the company to strengthen its financials further before it decides to test its fate in the public markets.
(Reporting by Niket Nishant in Bengaluru; Additional reporting by Maria Ponnezhath; Editing by Arun Koyyur)
