Reviewed by Gotrade Internal Analyst
Jakarta, Gotrade News - Bill Ackman just dropped a major proposal to take SpaceX public through a strategic merger. According to a report by Seeking Alpha, this plan involves Pershing Square SPARC Holdings and completely skips the traditional underwriting fees.
Key Takeaways
- Bill Ackman pitched a SpaceX IPO via a merger with Pershing Square SPARC Holdings.
- Tesla shareholders would score special rights called SPARs to invest in SpaceX.
- Pershing Square has committed to injecting $4 billion in capital at a fixed price.
Shareholders of Tesla, Inc. would receive special rights known as SPARs as the core part of this strategy. Ackman explained in his proposal that these rights allow loyal Tesla investors to invest directly in the SpaceX IPO.
For every single Tesla share, you'd get about 0.5 SPARs, which can then be converted into SpaceX stock. Based on Ackman’s math, the potential funds raised could hit anywhere from $42 billion to a massive $148.7 billion.
Cost Efficiency & Capital Structure
This deal structure brings serious efficiency by cutting out bank underwriting fees and founder stock options. Pershing Square is also committed to injecting $4 billion in capital, regardless of market conditions when the deal goes down.
The due diligence process and definitive agreement could be wrapped up fast—within about 45 days. Interestingly, SPAR holders might also get exclusive access to future investments in Elon Musk’s xAI company.
This move is seen as a way to democratize the IPO process, giving retail investors rare access to the rocket company. If approved, this would be the fairest way for Tesla shareholders to get a piece of the SpaceX pie.
Reference:
- Seeking Alpha, Bill Ackman proposes SpaceX IPO via Sparc merger. Accessed on December 22, 2025
- Featured Image: Shutterstock
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