Schwab Network Edward Best on SpaceX, Retail‑Driven IPOs, and the Limits of Valuation
Apr 10, 2026
Edward Best, co-chair of Wilkie Farr & Gallagher’s Capital Markets Practice, advises on complex IPOs. He discusses SpaceX’s potential mega-IPO and the valuation headaches it creates. He covers Elon Musk’s push for broad retail participation and the logistical and signaling questions around reduced lockups. He also explores whether retail FOMO could reshape how future large tech listings debut.
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Market Has Capital But Valuation Is The Real Question
- The markets have the capital to absorb a mega IPO but the bigger issue is the price investors will pay for a company with few true public comps.
- Edward Best compares potential SpaceX scale to Saudi Aramco and stresses valuation uncertainty given SpaceX's unique business mix.
SpaceX Is Multiple Businesses Rolled Into One
- Valuing SpaceX is hard because the company combines distinct businesses with different capital needs and profitability profiles.
- Edward Best notes XAI and Starlink have heavy CapEx while other units may generate substantial cash, complicating comps.
Prepare For Retail Allocation Logistics
- Expect logistical and allocation challenges if SpaceX pushes a large retail tranche; underwriting and distribution must scale to handle it.
- Edward Best flags a possible 30% retail allocation and warns $15 billion of retail is a significant operational burden.