SpaceX IPO draws criticism over shareholder rights limits and 0.7% underwriting fee
The commentary argues that SpaceX’s IPO structure leaves public investors with little control, including limited voting power, restrictions that penalize early selling, and a requirement that shareholder disputes go to arbitration rather than court. It also criticizes Nasdaq and other index sponsors for moving to include the stock ahead of the customary “seasoning” delay. The piece says Goldman Sachs and Morgan Stanley accepted a 0.7% underwriting fee and allowed Elon Musk to set the $135 opening price, raising regulatory-style questions about index governance, bank diligence and market fairness.
