Isn’t there something fishy about how the IPO isn’t actually selling shares or something like that?
There was a tight limit of the percentage of the company available for purchase. Something like 4-5%. So the supply is kept small. Also, earlier, private investors are not able to sell right away. There are several events before their holdings are ‘unlocked’. For example, the first event when they can sell is after the 2nd quarter earning report. Then they can sell something like 20% of their holdings. There are other dates when further sales are permitted. 70, 90, 105, 120 and 135 days after the IPO, early investors can sell. By this time SpaceX will be listed on the Nasdaq-100 index which means, any funds tracking the Nasdaq-100 will HAVE to buy it. (this Nasdaq-100 listing is highly unusual for new IPO’s). Fishy? I don’t know, but it certainly has been engineered to prevent massive flipping early on.
Huh?
No. Not fishy.
This measure is based on what a funding source like a bank would be willing to “loan” him with the shares as collateral.
That’s how he gets his pocket change for lunch...
And everything else for which he actually spends money...
And why he doesn’t have to pay personal taxes if he doesn’t want to.