SpaceX Challenges IPO Norms, Seeks Fast-Track Entry Into Major Stock Indexes To Boost Liquidity: Report

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2026.02.05 11:44
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SpaceX, led by Elon Musk, is seeking a fast-tracked entry into major stock indexes, potentially changing the traditional IPO timeline. The company is in talks with index providers like Nasdaq to allow early inclusion, which typically requires companies to wait months post-IPO. This push follows SpaceX's merger with xAI, valuing the combined entity at approximately $1.25 trillion. The IPO is anticipated later this year, with speculation about a possible merger with Tesla also emerging.

The Elon Musk-led SpaceX is reportedly pushing for an expedited entry into major stock indexes, potentially altering the traditional IPO timeline.

Early Index Inclusion Gains Momentum

The company’s advisers have initiated discussions with major index providers, including Nasdaq, to explore the possibility of an early inclusion, reported The Wall Street Journal on Wednesday.

Companies generally must wait months to a year after going public before qualifying for major indexes like the S&P 500 or Nasdaq 100, allowing time to prove stability and sufficient liquidity to absorb index-fund buying.

SpaceX is pushing to bypass traditional rules to give shareholders liquidity sooner around its IPO, with advisers lobbying for index policy changes that could speed its inclusion in major indexes and set a precedent for other highly valued private firms.

Meanwhile, Nasdaq is seeking feedback on proposed changes to the Nasdaq 100 methodology, including a possible "fast entry" rule that would allow top-40 companies by market cap to join the index after 15 trading days instead of waiting three months. At current valuations, SpaceX, OpenAI, and Anthropic are eligible for this.

Similar fast-track options already exist at S&P Total Market Index and MSCI and advisers to SpaceX are exploring them to support a strong IPO debut. Notably, the S&P 500 does not have a fast-entry option.

SpaceX–xAI Merger Lifts Valuation Stakes

This development comes on the heels of SpaceX’s recent merger with xAI, which Musk framed as a long-term bet on humanity’s future. The deal reportedly values SpaceX at around $1 trillion and xAI at about $250 billion, with the combined SpaceX–xAI entity expected to price shares at around $527 after the deal.

The merger has also fueled expectations about SpaceX’s IPO, with Polymarket traders estimating that the closing market cap of SpaceX could be around $1.67 trillion. This figure would put SpaceX in direct competition with the market caps of tech giants like Amazon.com (NASDAQ:AMZN) and Meta Platforms (NASDAQ:META). SpaceX was last valued at around $800 billion in an insider share sale, while xAI was valued at about $230 billion late last year. The IPO for SpaceX is planned later this year.

Moreover, billionaire investor Chamath Palihapitiya and Dan Ives of Wedbush Securities 
have signaled speculation about a potential merger between Tesla (NASDAQ:TSLA) and SpaceX, a move that could further disrupt the traditional market landscape. 

Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.

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