Elon Musk’s SpaceX completed a gigantic equity funding round of $850 million last week, sending the company’s valuation to about $74 billion, according to CNBC. The new funds were raised at $419.99 a share, 1 cent below the $420 price that Musk made infamous in 2018 when he declared he had “funding secured” to take Tesla private.
- SpaceX reportedly raised only a portion of the funding available in the marketplace as the company received about $6 billion in offers over just three days.
- Company insiders and existing investors also sold $750 million of SpaceX shares in a secondary transaction.
- SpaceX’s funding round comes as the company simultaneously develops two capital-intensive projects.
- SpaceX’s ambitious project includes Starlink aiming to build an interconnected network with thousands of satellites to deliver high-speed internet to consumers anywhere on the planet.
- The company has launched more than 1,000 satellites for Starlink and is beginning to roll out early service in a public beta to consumers in the U.S., Canada, and the U.K.
- Starlink has “over 10,000 users in the U.S and abroad” in only three months since the public beta began.
- Last week, Musk revealed plans to spin-off Starlink and take it public.
SpaceX’s latest funding represents about a 60% jump in its valuation from the $2 billion previous round in August at a $46 billion valuation.
