Elon Musk’s Killer Dealmaker Is Back for SpaceX IPO
Speakers
John Coogan
— Co-Host, TBPN
Summary
The show focuses on Michael Grimes returning to Morgan Stanley as chairman of investment banking and what it signals for a potential SpaceX IPO. The hosts discuss Grimes's history as Elon Musk's banker and a lead banker on major tech IPOs, the expected size and fee pool of a SpaceX listing, and the banks likely to be involved. They also touch on the broad IPO window for SpaceX, OpenAI, and Anthropic, plus xAI/Grok's positioning as an AI lab or compute provider.
- Michael Grimes rejoins Morgan Stanley as chairman of investment banking.
- Grimes is viewed as a legendary tech banker and Elon Musk's longtime banker.
- A SpaceX IPO could raise about $40 billion with roughly $400 million in banking fees.
- Lead banks may include Morgan Stanley, Bank of America, JPMorgan, and Goldman Sachs, with Citi mentioned in prediction markets.
- The hosts discuss a wide-open IPO window that could include SpaceX, OpenAI, and Anthropic.
- They debate whether xAI should be viewed as a research lab or a hyperscaler/neocloud.
- Grok's unhinged comedy mode on Instagram Reels gets a brief mention.
Ideas
Grimes's return boosts Morgan Stanley IPO
Michael Grimes is returning to Morgan Stanley as chairman of investment banking, a promotion from his prior role as head of global technology investment banking. He is Elon Musk's longtime banker and has led many major tech IPOs. His return positions Morgan Stanley as a likely lead bank on a SpaceX IPO that could raise about $40 billion and generate roughly $400 million in fees, and it is seen as a strong signal that the SpaceX/OpenAI/Anthropic IPO pipeline is real.
SpaceX IPO fees benefit lead banks
The SpaceX IPO could raise about $40 billion and generate roughly $400 million in investment banking fees. Bank of America, JPMorgan, and Goldman Sachs are named as likely lead banks, while Kalshi prediction market odds show Citi around 56% to be involved. This creates an event-driven fee catalyst for the named banks.
