The parent company of Google, Alphabet, is expected to make a major win. According to a Bloomberg report, the earlier investment of SpaceX is now likely to transform into a massive USD 100 billion gain. This comes at a time when the company is preparing for a potential IPO. Alphabet had invested in the company of Elon Musk some years ago when it was still growing. However, by the end of the year 2025, Google owned an almost 6.11 per cent stake in the company. The catch is that ever since the merger between SpaceX and xAI, the stake is now believed to have reduced from 6.11 per cent to 5 per cent, as per reports.
SpaceX plans massive valuation
Elon Musk-led company SpaceX is reportedly planning a public listing. It is targeting a massive valuation amount of USD 2 trillion, as per the report. If it happens, the almost 5 per cent stake of Google may be worth USD 100 billion. The earlier estimates suggested that before the merger between SpaceX and xAI happened, the stake of Alphabet might have been over USD 120 billion, highlighting the strength of long-term investments in some tech giants.
Huge gains for companies
Elon Musk owns almost 40 per cent of SpaceX. The wealth of the businessman may see a rapid surge if the IPO happens to go as planned. The reports also suggest that he may become the first trillionaire in the world. Not just Musk, but many investors and senior executives are expected to get huge gains, as per the report.
Importance of SpaceX
SpaceX was founded in the year 2002 and has grown exponentially ever since. At present, it is one of the leading private space companies in the world as it earns from the rapid launches, satellite-based services, and Starlink internet business. It’s also expected to make almost USD 20 billion this year in the revenue, reportedly.
Google made its first investment in SpaceX in 2015. The investment was made along with Fidelity when the company’s valuation was USD 10 billion. In today’s time, it’s almost 10 times more than this amount, as per report.
It’s expected from SpaceX that it may launch one of the biggest IPOs in history. The value may be as high as USD 75 billion, reportedly. A successful one may lead to the generation of massive wealth for the company’s investors, employees and stakeholders.
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