SpaceX IPO Tops US$85.7 Billion as Investor Demand Sends Musk’s Valuation Into New Territory

KUALA LUMPUR, June, 2026 — SpaceX has raised its total initial public offering proceeds to US$85.7 billion after underwriters exercised the greenshoe option, marking another major milestone for the Elon Musk-led company.

According to Reuters, the company had initially raised US$75 billion last week by selling 555.56 million shares at US$135 each. Even before the greenshoe option was exercised, the listing had already become the largest IPO in history.

The latest increase came after underwriters purchased an additional 83.3 million shares through the greenshoe mechanism, a common feature in major US listings that allows banks to stabilise trading and meet strong investor demand after an IPO.

A greenshoe option is usually exercised when a newly listed stock trades above its IPO price. In SpaceX’s case, demand was strong enough for underwriters to use the option, giving the company billions more in proceeds.

Reuters reported that SpaceX’s IPO attracted more than US$250 billion in investor orders, far exceeding the amount the company originally planned to raise. The offering was oversubscribed by roughly three-and-a-half to four times, reflecting heavy demand from both retail and institutional investors.

SpaceX shares surged 19% after the company’s Nasdaq debut on Friday and rose again in early trading on Monday, pushing the company’s market capitalisation above US$2 trillion. The rally also strengthened Elon Musk’s position as one of the wealthiest individuals in the world, with Reuters reporting that the surge made him the world’s first trillionaire.

The company, trading under the ticker SPCX, has quickly become one of the most closely watched stocks on Wall Street. Its public debut is being seen not only as a landmark moment for the space industry, but also as a major test of investor appetite for mega-sized technology listings.

SpaceX is best known for reusable rockets, private spaceflight, NASA missions and its satellite internet business Starlink. In recent years, the company has also expanded its identity beyond aerospace, with Reuters describing it as a rocket, AI and internet conglomerate.

The scale of the IPO places SpaceX in a different category from most public listings. By raising more than US$85 billion, the company has surpassed previous global IPO records and created a new benchmark for large technology and infrastructure-driven listings.

Analysts described the debut as a “Goldilocks” stock market entry because the first-day share gain rewarded investors while avoiding the impression that the company had priced the IPO too cheaply.

The strong performance also shows how powerful Elon Musk’s brand remains among investors. Despite concerns about valuation, execution risk and the capital-heavy nature of space infrastructure, demand for SpaceX shares was strong across both Wall Street and Main Street investors.

Brian Jacobsen, chief economic strategist at Annex Wealth Management, said demand had significantly exceeded the initial supply, with major funds placing large orders. This helped explain why underwriters moved to use the overallotment option.

The IPO was led by Goldman Sachs and Morgan Stanley, two of Wall Street’s biggest investment banks. Reuters reported that both firms acted as lead underwriters for the offering.

For SpaceX, the additional funding gives the company more financial firepower to support its long-term projects. These may include further Starlink expansion, rocket development, satellite infrastructure and other capital-intensive technology ambitions.

However, the size of the valuation also brings pressure. At more than US$2 trillion in market value, investors will expect SpaceX to deliver strong growth, consistent execution and clearer financial performance as a public company.

The IPO could also influence other major technology companies considering public listings. Reuters reported that SpaceX’s successful debut may become an early test for a new wave of mega-IPOs, with AI companies such as Anthropic and OpenAI reportedly expected to follow into public markets later this year.

The market reaction suggests investors still have strong appetite for high-growth technology companies, especially those linked to artificial intelligence, space infrastructure, satellite communications and future mobility.

Still, risks remain. SpaceX operates in industries that require enormous capital spending, long development timelines and complex regulatory approvals. Rocket launches, satellite networks and space exploration projects can carry high operational and financial risks.

For retail investors, the sharp rise in SpaceX shares may be attractive, but it also raises concerns about whether the stock’s valuation has already priced in years of future growth.

The greenshoe option may help stabilise early trading, but it does not remove the possibility of volatility. Newly listed mega-cap stocks can move sharply as early investors, institutions and retail traders respond to market momentum, analyst coverage and future earnings reports.

SpaceX’s IPO also arrives at a time when public markets are increasingly focused on companies with bold long-term narratives. The company’s business model sits at the intersection of aerospace, satellite internet, defence contracts, AI infrastructure and global communications.

That combination has helped make SpaceX one of the most valuable companies in the world, but it also means investors will judge the company on multiple fronts — from launch reliability and Starlink subscriber growth to profitability and future space-based infrastructure.

Overall, the IPO marks a historic moment for global financial markets. SpaceX has not only raised a record-breaking amount of capital, but has also demonstrated the scale of investor demand for companies positioned around the next generation of technology.

With the IPO now expanded to US$85.7 billion, SpaceX has set a new standard for public listings. The next challenge will be proving that its science-fiction-level valuation can be supported by real earnings growth, disciplined execution and long-term market leadership.