SpaceX deal to pro­pel Musk’s wealth

The Daily Telegraph - Business - - Front Page - By Lau­rence Dodds in San Fran­cisco

ELON MUSK’S per­sonal wealth is to soar by as much as $6bn (£4.7bn) thanks to a new in­vest­ment round that could re­port­edly value his com­pany SpaceX at $44bn.

The tech mogul, whose net worth has al­ready more than tripled since the start of this year, is in talks with in­vestors to raise about $1bn at a price of $270 per share, ac­cord­ing to Bloomberg News. If com­pleted on those terms, such a deal would pro­pel the value of Mr Musk’s stake from $18bn to just un­der $24bn – de­spite the fact that SpaceX is not pre­dicted to gen­er­ate a pos­i­tive free cash flow un­til 2033.

It comes af­ter bumper fi­nan­cial re­sults for Mr Musk’s other com­pany, Tesla, which drove its stock price to new heights by re­port­ing a fourth con­sec­u­tive quar­terly profit de­spite the coron­avirus pan­demic. The elec­tric car­maker has en­joyed a record-break­ing bull streak this year, launch­ing Mr Musk towards the top of the rich list as it has lifted his net worth from about $22bn in Jan­uary to $71bn now.

SpaceX had not re­sponded to a re­quest for com­ment at the time of pub­li­ca­tion.

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