00:00It's Benzinga, bringing Wall Street to Main Street.
00:02SpaceX is set to make its stock market debut Friday on the Nasdaq,
00:07raising about $75 billion by selling 555.6 million shares at $135 each in the largest IPO ever,
00:16according to the Wall Street Journal. The deal valued the company at roughly $1.77 trillion.
00:22Bankers and traders warned SpaceX's share price could be volatile at open due to individual
00:28investors, with a 10% swing in either direction. If SpaceX's stock falls, Morgan Stanley can buy back
00:35excess shares on the open market using a stabilization tool called the Green Shoe,
00:39in which underwriters sold 15% more shares than the offering size.
00:44SpaceX bypassed the traditional price discovery process and set a fixed $135 share price from
00:50the start, a move that will be judged by how its shares trade on Friday.
00:53For all things money, visit Benzinga.com.
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