SpaceX IPO another reason to diversify into PE, as some Aussie investors benefit from pre-IPO exposure
The much anticipated initial public offering of SpaceX during 2026 is expected to be among the biggest IPOs in history. It also provides a great reminder of how exposure to global private equity (PE) can provide valuable diversification and attractive investment returns.
Some Australian investors are already benefiting from pre-IPO exposure to SpaceX, with the company currently the largest position in the listed PE vehicle, the Pengana Private Equity Trust (ASX: PE1), with SpaceX comprising 7.7% of the portfolio.
SpaceX’s latest secondary share sale is expected to value the company at US$800 billion, which would make it the world’s most valuable private company.
Recent reports also point to a likely SpaceX IPO during 2026, which could be the biggest IPO in history, with potential to raise US$30 billion, at an initial listed valuation of between US$1-1.5 trillion.
Such a result would show a stratospheric rise, given the company was worth approximately US$12 billion in 2015 and US$46 billion in 2020. PE1 initiated its SpaceX exposure in late 2020.
It also shows the value in including global private equity in a diversified investment portfolio, according to Adam Myers, Executive Director at Pengana Capital Group, which operates Australia’s only listed global PE vehicle, the Pengana Private Equity Trust (ASX: PE1).
“SpaceX is a great example of how private markets can provide exposure to companies well before an IPO. Investors in PE1 are among the few in Australia with meaningful access to this opportunity, and are well positioned to benefit from a favourable IPO outcome, whether in 2026 or at a later date”, Mr Myers said
He added that SpaceX is still valued at US$400 billion in the portfolio, as the new valuation of US$800 billion has not yet worked its way through the valuation process.
PE1 also has exposure to unlisted AI sensation, OpenAI, which has been subject to IPO rumours for some time.
“We know that companies are staying in private hands for longer. In many cases, the more influential a business becomes, the more access it has to private capital, which reduces the urgency to IPO.
“By allocating a portion of a portfolio to PE, investors can potentially gain exposure to some of the most meaningful businesses of the future before they list, and potentially capture outsized returns on the journey to IPO.”
PE1’s annualised NAV return since its inception in 2019 to 31 December 2025 is 8.7%. Unusually for a private equity vehicle, PE1 pays an ongoing distribution yield of 4% p.a. on NAV.
