Sen. Elizabeth Warren Makes Hail Mary Plea to Delay SpaceX IPO

With just two days left before SpaceX begins trading on the Nasdaq, Senator Elizabeth Warren is asking the SEC to delay its IPO. In a letter to SEC Chair Paul Atkins, Sen. Warren raised concerns about potential inaccuracies in the company’s valuation and the unusual governance structure, in which founder Elon Musk serves as CEO, CTO, and chair of the board while also holding the majority of the voting shares, making him virtually unimpeachable. “This IPO appears to present significant risks to ordinary investors and their retirement savings – while carrying enormous advantages for SpaceX insiders, including senior Trump Administration officials,” Sen. Warren wrote. “The net result could be disastrous: a scenario where retirees’ and families’ investment accounts take a hit if SpaceX’s valuation falters, with little recourse for any corporate misconduct, while the wealthiest man on earth becomes even wealthier due to a lack of oversight.” At an expected valuation of $1.75 trillion and investor demand looking above expectations, the IPO is expected to be the biggest in history, making more than 4,000 of its employees millionaires and Musk the world’s first trillionaire. According to a