SpaceX is considering issuing more than one class of stock in connection with an initial public offering targeted for this year, according to people familiar with the situation. The proposed structure would create multiple share classes with differing voting rights - a configuration commonly used to concentrate control with founders or early investors while offering ordinary investors shares with reduced voting influence.
Insiders say the company, which has incorporated Elon Musk's artificial-intelligence venture xAI into its operations, is aiming for a headline-grabbing public listing that could place its value north of $1.5 trillion. As part of preparations for the offering, SpaceX is also in the process of adding directors to its board to supervise the IPO sequence and to broaden leadership resources for projects beyond its core rocket and satellite activities.
Those involved in the deliberations emphasized that planning is ongoing and that the specifics of any share-class arrangement and the IPO itself could evolve. The firm did not immediately respond to a request for comment.
The dual-class approach typically involves at least two types of equity - one set carrying superior voting power for founders or early backers, and another intended for public investors with diminished voting rights. Proponents of such designs say they can help founders retain strategic control, while critics note the potential mismatch between economic ownership and voting authority.
In a related observation, the electric-vehicle company associated with Musk does not currently employ a multiple-class voting framework. Musk has previously indicated he would need to control roughly 25% of voting power to secure sufficient influence, a target he has mentioned in other contexts but which does not change the fact that planning around SpaceX's potential IPO remains fluid.
What remains unsettled
Key governance decisions - including the exact mechanics of any dual-class setup and the final composition of the board overseeing the process - are still under discussion and may be revised before any offering is launched.