Citigroup to Co-Lead $75B SpaceX IPO at $135 Per Share
C•Citigroup is among five lead banks and 18 others underwriting SpaceX’s record $75 billion IPO, which plans to sell 555.6 million shares at $135 each for a $1.8 trillion valuation. Negotiations for razor-thin fees could still net Citigroup part of roughly $500 million in combined banking revenue.
1. Underwriting Role
Citigroup is serving as one of five lead banks — alongside Goldman Sachs, Morgan Stanley, Bank of America and JPMorgan Chase — plus 18 additional firms on SpaceX’s planned IPO. The role positions Citigroup to manage share allocations and support one of the largest equity transactions ever.
2. IPO Pricing and Valuation
The offering will comprise 555.6 million shares priced at $135 each, generating $75 billion in gross proceeds. The IPO targets a valuation of at least $1.8 trillion, more than double the previous record held by Saudi Aramco.
3. Fee Negotiations and Potential Revenue
SpaceX has negotiated razor-thin underwriting fees, but banks collectively expect around $500 million in revenue from the deal. Citigroup’s share of these fees could materially boost its investment banking income for the quarter.
4. IPO Timeline and Market Debut
Formal marketing is set to begin on June 4, with pricing potentially as early as June 11 and a Nasdaq listing under SPCX. Any timing shifts could affect the recognition of underwriting fees across Citigroup’s earnings periods.
