Elon Musk’s space exploration company SpaceX has filed confidential papers ahead of a planned public company listing on the US NASDAQ stock exchange.

The initial public offering (IPO) for the company controlled by the world’s richest man is targeting a total valuation of US$2 trillion. Musk plans to list only a small fraction of the company to raise US$75 billion from public investors, which would still make it the largest IPO in history.

So, why is SpaceX planning to go public? And what does the IPO mean for investors who might want a tiny slice of the action?

SpaceX says it aims to “make humanity multiplanetary”. You would expect no less from Musk, who founded SpaceX in 2002.

His company’s breakthrough was to re-use as much of the rocket and launcher vehicle as possible. This slashed launch costs to as little as 5% of the costs in the early 2000s, and turned commercial space flight from science fiction into reality. The company says it has now completed about 600 successful rocket landings.

Yet, for all its space ambitions, SpaceX still derives 50–80% of its revenue from Starlink, a communications business, which provides satellite internet to over........

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