George Steer

So the IPO is expected to be the largest of all time.

It's going to hopefully, for Elon Musk, raise around $75 billion.

And SpaceX is targeting a valuation of around 1.75 trillion, which would immediately rank it within the top 10 biggest companies in the world.

No, the proportion of its total shares that will actually be traded on IPO day next month is relatively small.

So less than 5% of its total share count, which is unusually small.

But companies over the last few years have been slowly reducing the proportion of the shares that they list because the fewer shares, the greater demand, the bigger the potential price jump on the first day of trading, which is something that the bankers and the company itself wants to see.

Well, these are three of the most hyped private companies in the world right now for various reasons.

One, space is interesting.

SpaceX has almost a monopoly on commercial space travel.

and is working with NASA on that.

OpenAI and Anthropic, along with a few of their slightly smaller rivals, have a stranglehold on the LLM, large language model AI market right now.

And that is where all of the growth and all of the interest in investor appetite has been over the last few years, basically since ChatGPT was released.

a few years ago.

So the three companies, when they do eventually all trade on US public markets, probably by the end of the year, it's expected that there will be huge investor demand for those shares, the prices of which could go crazy based on how the stock market itself has performed over the last two or three years.

Investors have told me and my colleagues that, you know, there's plenty of capital out there.

There's plenty of demand and that the market won't struggle to absorb these three new huge companies once they list.

There may be some selling opportunities.

at the margins of some of the magnificent seven tech stocks that have done so well recently, some of the semiconductor stocks that have done especially well this year.

But I think the market is relatively well prepared.

These IPOs have been long in the works.