SpaceX has informed investors of a 5-for-1 stock split, which will reduce the price investors pay for each share offered in the upcoming initial public offering (IPO), Bloomberg reports, according to UNN.
Details
According to sources familiar with the matter, shareholders were notified via email that the current fair market value of a single share has been adjusted to approximately $105.32 from $526.59 as a result of the split.
The stock split will take place during the week beginning May 18 and is expected to be completed by May 22, the sources said.
Addendum
As previously reported by Bloomberg, SpaceX plans to file for a public offering of shares as part of its long-awaited IPO as early as Wednesday.
The shares are expected to be in high demand among retail investors, a group that CEO Elon Musk has long sought to engage through Tesla Inc. The electric vehicle manufacturer conducted stock splits in August 2022 and two years prior.
Musk's rocket, satellite, and artificial intelligence company plans to launch a formal marketing campaign for the share sale as early as June 4, set the initial public offering (IPO) price on June 11, and list on June 12, Bloomberg reported.
SpaceX has filed a confidential application to go public and aims to raise up to $75 billion at a valuation of more than $2 trillion, which would be the largest IPO in history. Details of the IPO, including size and timing, are subject to change.