SpaceX targets record $75 billion IPO at a $1.75 trillion valuation

SpaceX is reportedly preparing for a confidential stock market debut to raise as much as $75 billion, a deal that would value the newly-conglomerated aerospace and AI firm at $1.75 trillion and immediately rank it among the world's most valuable companies. The offering, if successful, would be the first-ever to launch at a valuation exceeding $1 trillion.

"We built XOVR for one reason: to give every investor access to the kind of private market opportunity that has always existed — but never for them," said Joel Shulman, Founder and Chief Investment Officer of ERShares. His firm's XOVR ETF provides retail investors pre-IPO exposure to SpaceX, holding approximately $205 million in exposure as of March 25, 2026, through a special purpose vehicle.

The proposed offering would be the largest in history, seeking to raise more capital than the entire U.S. IPO market in 2024 and 2025 combined. In an unusual move, Elon Musk is reportedly reserving up to 30 percent of the deal for retail investors, a significant increase from the typical allocation. The public offering follows Musk's recent mergers of both X (formerly Twitter) and his artificial intelligence firm xAI into SpaceX.

The deal represents a major test for investor appetite for high-valuation, cash-burning AI ventures and for complex new corporate structures. Success could pave the way for other large private tech companies like OpenAI and Anthropic to go public, while a weak reception could signal a ceiling for AI-driven market enthusiasm.

A New Kind of Conglomerate

Investors are not just buying into the rocket and satellite business that SpaceX has built over decades. The entity preparing to go public is a new conglomerate formed from the recent mergers of X and xAI. While SpaceX's core launch business is established, the financials of the combined entity are unknown, and its xAI unit is understood to be hemorrhaging cash to fund the immense computational power required for training large foundation models.

The IPO prospectus will offer the first detailed look at the financial interplay between these disparate businesses. The long-term vision appears to be centered on a plan to build a network of one million orbital data centers, a capital-intensive fusion of SpaceX's launch capabilities and xAI's computational ambitions.

Pre-IPO Access and Controversy

For investors without access to private markets, the ERShares Private-Public Crossover ETF (XOVR) has become a popular vehicle for gaining exposure to SpaceX before its public debut. The fund's largest holding is a special purpose vehicle with exposure to SpaceX shares.

However, the fund's structure and disclosures have drawn intense scrutiny from some analysts. ERShares disclosed it has taken formal action, including retaining a defamation law firm and filing a complaint with the CFA Institute, to address what it calls "materially misstate[d]" commentary from a Morningstar analyst.

"When an analyst publishes an outsized volume of commentary focused on a single fund — around Valentine's Day, New Year's Eve, Christmas Eve — that is not analysis. That is something else entirely," said Eva Ados, Chief Investment Strategist at ERShares, in a statement.

This article is for informational purposes only and does not constitute investment advice.