Mining billionaire Gina Rinehart was among those keen to grab a slice of Elon Musk’s SpaceX when it listed on the US Nasdaq on Friday, after raising a record US$75 billion (A$106B) from new investors for an initial public offering.
Rinehart’s company, Hancock Prospecting, took a reported US$1B (A$1.4B) stake in the loss-making rocket maker, which also includes the profitable satellite business Starlink, and the controversial and costly AI company xAI, which is responsible for Grok.
SpaceX shares, which listed at US$135 rose 19% on debut to hit US$160.95 (A$228), giving the business a market capitalisation of A$3 trillion), and making Musk, who owns more than 40% of the business, the world’s first trillionaire – on paper at least.
Praise for Musk
Rinehart praised Musk for his role at Trump’s now disbanded cost-cutting initiative, DOGE, saying he “contributed significantly to his country,” and SpaceX was “a rare business: led by a truly exceptional person”.
“Elon has done what very few people in history have done – he has not just imagined the future, he has built companies capable of delivering it, and helped to keep American technology at the forefront,” she said.
“This is a significant investment for Hancock, and we are pleased to have received an allocation in what has been an extremely popular and oversubscribed IPO.
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“SpaceX is yet another clear example of why the world needs more enterprise, more builders and much less bureaucracy. It has delivered lower costs and greater capability by moving with the urgency and discipline that bureaucracy too often delays or prevents.
“As Elon Musk says: ‘The larger government gets, the less individual freedom you have. Your freedoms have just been eroded year after year with more and more government, laws and regulations and regulatory authorities’.”
SpaceX endorsement
Hancock Prospecting CEO Garry Korte said the allocation was an endorsement of Rinehart, who’s had several meetings with Musk, and flagged future collaboration between the two businesses.
“SpaceX is years ahead in launch capability, and critically, satellite communications, and in a short space of time has built a leading AI platform, Grok, which we use,” he said.
“In the future, we also see the possibility of mutually beneficial arrangements between SpaceX and Hancock Prospecting’s significant critical minerals investments, as demand grows for the materials and infrastructure needed to support advanced technology.”
Gina Rinehart is estimated to be worth around $40 billion, with her wealth shrinking by around 20% since it peaked at $50B in 2024 when iron ore prices were higher.
Hancock Prospecting has an investment portfolio worth more than $5B, backing mining, media and tech companies including Musk’s other business, Tesla, as well as Nvidia, Meta, Amazon and Netflix.
