SpaceX’s $75 Billion IPO Fuels Tesla Merger Thesis
TSLA•A June 9 research note detailed that a SpaceX IPO of 555.6 million shares raised a record $75 billion at a $1.75 trillion valuation, with order demand near $150 billion. Institutional investors now view a potential all-stock merger with Tesla as their primary rationale for holding Tesla stock.
1. Merger Thesis Gains Traction
An analyst detailed in a June 9 note that institutional investors now cite a future Tesla–SpaceX merger as their primary rationale for holding Tesla stock, marking a shift in the core investment thesis for the automaker.
2. SpaceX IPO Raises Record Capital
The offering sold 555.6 million shares at a fixed price to raise $75 billion, valuing SpaceX at $1.75 trillion and drawing order demand near $150 billion ahead of its June 12 Nasdaq debut.
3. Merger Mechanics and Timing Hurdles
A public SpaceX would provide Elon Musk with liquid equity currency and could push his voting control above 50% in an all-stock deal, but regulatory approvals and a 366-day lock-up requirement for Musk are likely to delay any merger until after mid-2027.
