SpaceX IPO Is Said to Be Over Four Times Oversubscribed

Summary

Bloomberg's Michael Hytha reports that SpaceX's IPO is more than four times oversubscribed, driven by strong retail demand in Japan and commitments from sovereign wealth funds. The IPO is set to price at $35 per share with trading expected to begin Friday. The scale of the offering has also put fee pressure on underwriting banks, particularly co-managers handling retail allocations.

• SpaceX IPO demand exceeds available shares by more than four times.
• Retail investors in Japan and sovereign funds in Saudi Arabia and Qatar are among the buyers.
• The IPO is set to price at $35 per share with allocation and official pricing expected the next day.
• Trading is scheduled to begin on Friday.
• 23 banks are on the IPO, with co-managers like Mizuho and SocGen handling retail sales.
• SpaceX's leverage has forced lower-than-usual fees on underwriters, squeezing co-managers' compensation.
• The event is described as potentially the biggest public debut ever.