What happened: Such an initial public offering would come “many years in the future” because the public market “is not like uncertain cash flows,” the billionaire suggested, adding a laugh.
Musk said that whenever such IPOs occur, Starlink can be trusted to prioritize retail investors. The CEO of SpaceX claimed, “I am a huge fan of small retail investors. This will ensure they get top priority. You can catch me.”
We will probably do an IPO Starlink, but there will only be many years in the future when revenue growth will be smooth and predictable. * No * in the public market is like irregular cash flow. I am a big fan of small retail investors. Will ensure that they get top priority. You can catch it with me.
– Elon Musk (@elonmusk) September 28, 2020
SpaceX is considered one of the most valuable enterprise-backed businesses in the United States, with an estimated valuation above $ 46 billion as of August.
Why it matters: In March, oysters, whoever leads Tesla Inc. (NASDAQ: TSLA), publicly stated that it was not considering an IPO for Starlink, saying, “We’re thinking of that zero.”
The broadband project involves launching 12,000 satellites in low Earth orbit to provide global Internet coverage.
Analysts say that SpaceX’s value is mostly within its broadband arm, Starlink, and if the project is successful, it could achieve a valuation of $ 120 billion, or it could fall to $ 5 billion.
Photo courtesy: SpaceX via Flickr
© 2020 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.