Elon Musk’s rocket company SpaceX and its investors have agreed to buy shares from its employees, valuing the business at $350bn .
The US business, in which Musk owns a 42% stake, and its backers are buying the stock at $185 a share, up from $112 a few months ago, according to an internal email seen by Bloomberg., with the Financial Times also reporting the same valuation. The figure represents a near doubling of its reported value a year ago, when another employee share sale valued the business at $180bn.
SpaceX and its investors have reportedly agreed to buy up to $1.25bn worth of employees’ shares, with the company alone offering to snap up $500m.with his financial heft. The day after the election, the Tesla chief executive’s wealth was estimated at $264bn, with his 13% stake in the electric carmaker making substantial contribution that wealth. Musk is now worth $384bn, according to Bloomberg.
SpaceX and Tesla already earn substantial sums from US government contracts, and the financial community expects Musk’s interests to flourish further under a Trump administration., secured contracts worth more than $700m from the US Space Force. SpaceX and Tesla have received at least $15.4bn in government contracts over the past decade, according to a recent New York Times analysis.