Over on Saul’s board, brittlerock has a great review of the upcoming IPO and the S-1 IPO registration statement. This IPO will likely affect the overall market in some ways so it will be interesting to take note of it when it occurs in early June.
Some excerpts:
Before you even think of investing in the SpaceX IPO (or open market stock purchase post IPO), please read the S1 very carefully. It is a remarkable document. A few things I picked up is that you can only purchase class A stock which provides you with 1 vote for corporate matters. You need never bother casting a vote because it has no value. Elon Musk will possess class B stock with 10 votes per share insuring that his whims can never be outvoted. No biggie? Who votes their shares anyway?
There’s more, lots more. SpaceX comes to market deeply in debt. Space X is burning money faster than the one profitable part of the company (Star Link) can generate profit. Every other aspect of the company is completely dependent on a lot of science fiction becoming reality (including recruiting one million people who actually want to colonize mars).
Pete