SpaceX plans to adopt a dual-class share structure in its IPO to strengthen Musk's control

Odaily Planet Daily reports that sources familiar with the matter reveal that SpaceX is considering adopting a dual-class share structure in its planned initial public offering this year. The dual-class structure would grant certain shareholders shares with higher voting rights, thereby giving them a dominant role in decision-making. This move would allow insiders, including Elon Musk, to maintain control of the company even if their ownership stake is relatively low. The sources also stated that SpaceX is adding board members to assist with the IPO and to expand Musk’s space ambitions beyond its core rocket and satellite businesses. Dual-class share structures are relatively common among American tech companies, typically granting founders and insiders 10 or even 20 votes per share, while common shares usually have only one vote. Critics argue that this can weaken accountability. Musk has previously praised such structures and proposed establishing a dual-class share category for Tesla to ensure he retains at least 25% of the voting control. (Jin10)