Elon Musk’s tender offer values SpaceX at $140 billion
Yahoo Finance’s Pras Subramanian joins the Live show to discuss reports that Elon Musk’s SpaceX has a valuation of $140 billion.
Video Transcript
[AUDIO LOGO]
AKIKO FUJITA: Well, insider shares of Elon Musk's SpaceX may be available for $77 a share, valuing the company at $140 billion. That's at least according to Bloomberg.
Let's bring in Yahoo Finance's Pras Subramanian, who's tracking the story for us. Pras, you know, why now? I mean, think back to what the valuation was in July. It was $100-- what, just over $120 million dollars?
PRAS SUBRAMANIAN: $127 billion. Yeah, and I guess, hey, look, if times are good, SpaceX is doing really well here with their businesses, you know, why not try to cash out if you're an insider? Why not try to do a tender offer here if you're someone who's locked up with some shares, I guess.
Like you said-- mentioned, the company valued at $140 billion with this tender offer. You know, looking at the SpaceX business, they've been doing quite well, right? They're sending payloads up for clients, both private and also public. Like, public companies-- or I'm sorry, government companies like NASA.
You've seen the they're launching their own Starlink satellites up. There taking astronauts to the ISS. They're doing some private space tourism. But then also they're gonna be part of the Artemis Moon mission with creating a type of Starship lander for that. So a lot going on for the company.
You can't be surprised that they want to kind of cash out a bit here. Looking at Elon Musk, for instance, he's-- his stakes worth around $47 billion. You know, maybe for him it's a way to unlock a little bit of money, too, for the things that he's been doing without having to sell or pledge Tesla shares.
RACHELLE AKUFFO: That was my first thought I was thinking. Perhaps this might be a way to get a little money there to go for Twitter. A big thank you there, Pras Subramanian, for joining us.
