A Falcon 9 rocket will launch a number of Starlink satellites into orbit on April 29, 2022.
SpaceX
SpaceX is raising a massive round of new funding, CNBC learned, sending the private company’s valuation at about $127 billion.
The space company plans to raise up to $1.725 billion in new capital at a price of $70 per share, according to a company-wide email obtained by CNBC on Friday. Notably, SpaceX split its stock price 10-for-1 in February, taking its common stock down to $56 a share — with the new valuation representing a 25% increase.
SpaceX is also conducting a secondary sale to company insiders and existing shareholders for up to $750 million in common stock. The Company regularly makes these secondary offerings to allow long-time shareholders to sell shares as SpaceX has remained private for more than 20 years since its inception.
Details of the cash injection were not previously reported. The New York Post first reported that SpaceX was seeking more funding and, citing unnamed sources, noted that the capital raise had met “tepid demand” so far.
The company’s valuation has risen sharply in recent years as SpaceX has raised billions to fund work on two capital-intensive projects: the next-generation rocket Starship and its global satellite internet network Starlink.
The company’s funding round comes as founder and CEO Elon Musk is embroiled in allegations of sexual harassment reportedly coming from a former SpaceX jet flight attendant. The billionaire has dismissed the allegations against him as “wild allegations”. The flight attendant reportedly didn’t sue SpaceX and instead made a $250,000 settlement in 2018.