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According to a media report, Elon Musk’s rocket and satellite company SpaceX raised another $ 850 million, raising its valuation to about $ 74 billion.
SpaceX raised the funds at $ 419.99 per share, CNBC reports, citing people familiar with the financing. It’s just shy of the infamous $ 420 point at which Musk said he had ‘funding’ to make Tesla private in 2018 – which the SEC said was a reference to weed culture.
It was the latest round of financing after SpaceX raised $ 1.9 billion in August 2020, raising its valuation to about $ 46 billion. The company is raising cash as it pursues ambitious projects such as the Starlink Internet satellite “constellation” and Starship rockets.
The rise in SpaceX’s valuation represents another victory for Musk, whose electric car company Tesla has risen by about 350% over the past year. This made the outspoken entrepreneur one of the two richest people in the world.
Starlink of SpaceX aims to set up a ‘constellation’ of satellites to provide high-speed internet to users around the world.
Musk said on Twitter earlier in February that “Starlink is an incredibly difficult technical and economic endeavor. However, if we do not fail, the cost to end users will improve every year.”
“SpaceX has to go through a deep chasm of negative cash flow over the next year or so to make Starlink financially viable.” In a separate tweet, he said: “Once we can predict the cash flow fairly well, Starlink will give a listing.”
SpaceX was contacted for comment.
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