SpaceX Recovers After 16% Selloff, Plans $20B Bond Sale and $60B Acquisition
SPCX•SpaceX shares rebounded 1% to $156.11 after a 16% slide erased $600 billion from its valuation, following the record $75 billion IPO that set a $2.2 trillion market cap. The company has raised $86 billion including over-allotment, agreed to acquire AI startup Cursor for $60 billion and plans a $20 billion bond sale.
1. Share Price Volatility and Market Cap Impact
SpaceX shares have swung widely since the June 12 IPO, falling 16% on Monday before rebounding 1% to close at $156.11, translating to a $600 billion loss in market value from its $2.2 trillion peak. The volatility reflects investor concerns over the company’s spending and debt plans.
2. Record IPO and Over-Allotment
The company’s record $75 billion initial public offering raised $75 billion and generated an additional $11 billion through overallotment, bringing total proceeds to $86 billion. The IPO remains the largest in history, surpassing Saudi Aramco’s 2019 debut.
3. Bond Issue and Credit Rating
SpaceX is preparing a $20 billion bond issue to refinance existing debt and fund capital expenditures through 2029. Despite this elevated leverage, it holds a 'BBB' investment-grade rating, the lowest tier in that category.
4. AI Startup Acquisition
In conjunction with these financing moves, SpaceX agreed to acquire AI coding startup Cursor for $60 billion, expected to close in the third quarter. The deal aims to enhance SpaceX’s software development capabilities through autonomous code generation.
