Elon Musk's SpaceX Looking To Raise New Funds At $44 Billion Valuation: Report

According to the report, the new round of funding is not likely to be completed within the next few months

SpaceX's CEO Elon Musk is eyeing the generation of new capital for the company at a valuation of nearly $44 billion, according to a media report on Thursday. Talks are on with investors for raising around $1 billion at the rate of $270 a share.

The report by Bloomberg News, which cited sources familiar with the development, added that the new round of funding is not likely to be completed with the next few months and that the terms are likely to change.

Delivering NASA Astronauts To Space Station

The company did not immediately respond to a Reuters request for comment. SpaceX's Crew Dragon capsule delivered NASA astronauts Bob Behnken and Doug Hurley to the International Space Station in May, marking the first U.S. space capsule to do so with a crew since 2011. The private rocket company also raised $346.2 million in May at a valuation of about $36 billion.

Musk is also the chief executive officer of electric carmaker Tesla Inc. Tesla on Wednesday posted a profit for four straight quarters, a condition for it to be considered for the stock index of the largest US companies.

Elon Musk
Elon Musk Wikimedia Commons

Testing Prototype Rocket

Recently, Musk announced on Twitter that SpaceX will attempt to fly a prototype of its Mars Starship rocket this week. Starship is SpaceX's ambitious spacecraft to take humans to the Red Planet. The company has been working on prototypes to find the right design that will work for transport.

Musk revealed on Twitter that the latest version of the prototype, SN5, "will attempt to fly later this week." This does not mean SpaceX will attempt to send a spacecraft to Mars this week itself. According to a report in CNET on Wednesday, the first flight of SN5 is expected to be a 150-metre "hop." Last year, such a flight was performed by an earlier Starship prototype dubbed "Starhopper".

SpaceX says its Starship spacecraft and Super Heavy rocket (collectively referred to as Starship) represent a fully reusable transportation system designed to carry both crew and cargo to Earth orbit, the Moon, Mars, and beyond.

The company has been rapidly iterating on the design of Starship with orbital-flight targeted for 2020. The previous iteration of the Starship prototype, SN4, exploded right after a static fire test in May this year.

(With inputs from agencies)

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