A group of SpaceX investors seeks regulatory scrutiny of the proposed IPO structure, citing concerns over Elon Musk’s unchecked authority.
A coalition of SpaceX investors has urged the SEC to examine the company’s planned IPO structure, arguing it grants Elon Musk disproportionate control. The group contends the governance terms could undermine shareholder rights and long-term stability, according to filings reviewed by market sources.
SpaceX has not yet filed public IPO documents, but reports suggest the offering may include dual-class shares favoring Musk. Similar structures in other tech IPOs, such as Snap and Palantir, have drawn criticism for concentrating power among founders while limiting investor influence.
The SEC has not commented on the request, but investor pressure could delay or reshape the IPO terms. Market analysts note governance concerns often weigh on post-IPO performance, particularly for high-profile listings.