According to three sources, Morgan Stanley is a major candidate for SpaceX’s blockbuster initial public offering due to its close relationships to CEO Elon Musk.

The IPO’s “bake-off,” or selection process, is still underway, with a select group of banks, including Morgan Stanley (MS.N), Goldman Sachs (GS.N), and JPMorgan (JPM.N), vying for roles, four sources said. Morgan Stanley may not secure the “lead left” underwriting position, the sources said.

SpaceX is one of the world’s largest private corporations, making its IPO complicated.
While plans are underway, SpaceX may delay or cancel the IPO depending on market conditions, the people said.

Johnsen wrote in his email that SpaceX would use IPO proceeds to increase the flight rate of its next-generation Starship rocket and deploy AI data centers in space, complementing its Starlink business and connecting the company to the AI boom.

Musk’s lunar base, “Moonbase Alpha,” would be built by the business. NASA’s Artemis moon program has awarded SpaceX a $4 billion contract to land men on the moon using Starship.

Musk has long wanted SpaceX to send humans and robots to Mars, using Starlink earnings to build Starship, a Mars transportation system.