Elon Musk‘s SpaceX plans to offer insider shares at $97 apiece in a tender offer, marking a significant price increase, according to a Bloomberg News report citing sources. This price surge elevates the space and satellite company’s value to nearly $180 billion, it added.
The originally discussed tender offer, ranging between $500-750 million at $95/share, has now seen a rise to $97/share, Bloomberg reported. As of now, the rocket company holds a valuation of approximately $150 billion, positioning it among the most valuable private firms globally.
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SpaceX did not respond to queries, the report added.
Musk’s X Faces Decline in Ad Revenue
Bloomberg on December 13 cited sources to report that Musk’s X (formerly Twitter), is set to bring in about $2.5 billion in advertising revenue in 2023 — a significant slump from prior years.
X generated a little over $600 million in advertising revenue for each of the first three quarters this year, the report added. Sources suggest a similar performance is expected in the current period, a notable drop from over $1 billion per quarter in 2022.
Also Read: Walmart joins ranks of advertisers pulling away from Elon Musk’s X
Ad sales currently contribute between 70-75 percent to X’s total revenue, as per two insiders. This projection points to an estimated 2023 sales figure of around $3.4 billion, incorporating revenues from subscriptions and data licensing agreements.
Newly disclosed sales figures highlight advertisers’ concerns about X’s content moderation approach under Musk’s ownership. Particularly contentious are the new owner’s posts that amplify extremist views, including antisemitic content.
Initially aiming for $3 billion in revenue from advertising and subscriptions for 2023, X’s executives are set to fall significantly short of this target, according to one source. However, the final annual figure remains uncertain as the holiday quarter’s results are yet to be concluded, the report added.
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Published: 13 Dec 2023, 09:50 AM IST