SpaceX is considering a dual-class share structure for its planned IPO this year, a strategy that mimics what Musk has proposed for Tesla Inc. A dual-class share structure would give certain shareholders shares with additional voting rights, allowing them to dominate company decisions. The move would allow insiders such as Musk to control the company even if they hold a minority stake.
The space company acquired artificial intelligence startup xAI and is planning a massive public offering this year that could value it at more than $1.5 trillion.
A company with a dual-class structure has two or more shares of stock with different voting rights, typically one stock giving greater voting power to the founders or early investors and the other giving smaller voting rights to other shareholders.
SpaceX is also adding board members to oversee the IPO process and expand Musk's space goals beyond its main business of rockets and satellites.
Although electric car company Tesla does not currently have a two-class voting structure, Musk has said he would need to own a sizable stake - about 25% - to have enough voting influence.