11/06/2026 06:58 AST
SpaceX, the American spaceflight company founded by billionaire Elon Musk, is set to go public on Friday in what is being deemed as the largest stock market launch in history. The tech company is set to go on an initial public offering (IPO) on the Nasdaq stock exchange on June 12, under the ticker SPCX, aiming for a valuation of $1.75 (roughly around Dh6.4) trillion and seeking to raise as much as $75 (Dh275) billion from investors.
For investors in the UAE, the listing raises a key question: how can they gain exposure to SpaceX, and will they be able to participate directly in the offering? While access to the IPO itself is expected to be limited, analysts say UAE-based investors will still have several routes to invest, either through international brokers, exchange-traded funds with SpaceX exposure, or by purchasing shares once trading begins. Here is what investors need to know.
Can UAE investors have a direct share?
For most retail investors, direct participation in the IPO is likely to be difficult.
"Participation in the SpaceX IPO is either only available to US residents or to qualified professional investors via participating underwriters internationally," said Vijay Valecha, Chief Investment Officer at Century Financial.
Madhur Kakkar, Founder and CEO of Elevate Financial Services, said investors should distinguish between IPO access and buying shares after listing.
"IPO allocation is not the same as simply placing a market order after listing," he said. "For most retail investors, aftermarket access once SPCX begins trading on Nasdaq will be the most practical route."
Institutional investors and qualified professional clients with relationships through major global banks may be able to receive IPO allocations before trading begins.
How can UAE investors gain exposure to SpaceX?
Once the stock starts trading, UAE residents with brokerage accounts that provide access to US markets should be able to buy and sell shares like any other US-listed stock.
Investors can also gain indirect exposure through exchange-traded funds (ETFs) that already hold SpaceX stakes. According to Valecha, the ERShares Private-Public Crossover ETF (XOVR) has one of the largest exposures to SpaceX, with around 23 per cent of its assets invested in the company. Other funds with SpaceX exposure include the Tema Space Innovators ETF (NASA) and the KraneShares Public-Private AI & Technology ETF (AGIX).
How much could it cost to invest?
Based on the proposed IPO price of $135 (Dh495) per share, investors would need at least that amount, excluding brokerage and currency conversion charges, to purchase a single share once trading begins.
Investors should also account for foreign exchange conversion fees, custody charges and brokerage commissions, which vary between platforms. Valecha noted that currency conversion fees charged by banks and brokers typically range from 0.5 to 2 per cent of the transaction value.
For those investing through ETFs, the minimum investment will depend on the fund's trading price and the broker's requirements.
What is the outlook for the stock after listing?
Analysts told Khaleej Times they expect strong initial demand for SpaceX shares due investor enthusiasm and potential buying from index-tracking funds.
Valecha said the company's limited initial public float could help drive prices higher in the first weeks of trading. However, he cautioned that volatility could increase later in the year as lock-up periods expire and early investors gain the ability to sell shares.
Questions around valuation are also likely to remain in focus. Michael Hewson, Senior Market Analyst at iFOREX, said the proposed valuation appears difficult to justify based on current financial metrics, noting that SpaceX would be valued at more than 90 times annual sales.
Still, he added that betting against Musk's ventures has often proved costly for sceptics. "This could well go the same way," Hewson said.
Khaleej Times
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