Gulf wealth funds have put in orders for shares worth several billions of dollars in SpaceX’s initial public offering, according to people familiar with the matter, the latest indication of the region’s ambitions to continue playing a lead role in bankrolling the global artificial intelligence buildout.
Saudi Arabia’s Public Investment Fund and Kuwait Investment Authority have each placed orders for shares worth $1 billion to $5 billion, the people said, asking not to be identified discussing confidential information. The $580 billion Qatar Investment Authority is also likely to make a significant commitment, the people said.
Entities based in the region are already prominent shareholders in Elon Musk’s rocket, satellite and AI firm, and many are sitting on large paper gains based on the billionaire’s targeted valuation of $1.8 trillion, the people said. It wasn’t immediately clear how much of the planned outlay is intended to prevent dilution of existing stakes after SpaceX’s listing.
The interest from the Gulf is part of a broader rush into the deal from global institutional investors, whose orders have exceeded the number of shares on offer. Some have bid for $10 billion or more of stock, Bloomberg News has reported, though the eventual allocations might be smaller.
Representatives for KIA, PIF and QIA declined to comment.
Read More: SpaceX IPO Could Be the Gulf’s First AI Windfall: Mideast Money
Middle Eastern petrostates have poured billions of dollars into AI, backing everything from startups and chip infrastructure firms to data centers and the industry’s most sought-after founders. The SpaceX IPO would be the first real crystallization of value, arriving as the Iran war threatens to slow Gulf countries’ AI ambitions locally.
PIF-backed Humain invested $3 billion in xAI this year , in a stake it said would convert into SpaceX shares, while the wealth fund also has indirect exposure through Kingdom Holding Co.
Read More: Saudi Prince Alwaleed Sees Wealth Soar as SpaceX Bet Pays Off
Abu Dhabi’s MGX holds stakes in Anthropic, OpenAI and xAI, an investing hat trick that gives it exposure to three of the most closely watched AI firms. Qatar’s QIA has pursued a similar strategy, investing in both Anthropic and xAI.
Even amid a conflict that has seen Iran attack Gulf nations, regional wealth funds have continued to deploy billions across deals spanning alternative asset managers, private credit, technology platforms and AI .
OpenAI, whose AI models compete with those from SpaceX’s xAI business, filed confidentially for a listing on Monday, following Anthropic PBC last week. Together with SpaceX, the three companies could add $3.6 trillion in market value to US exchanges, according to Bloomberg calculations.
Read More: SpaceX, Anthropic, OpenAI Can Rewrite History for Megacap IPOs
Musk has built close relationships in the Middle East. During his trip to the United Arab Emirates in December, the billionaire was pictured with top Abu Dhabi royals and Dubai’s crown prince.
His various ventures have also made significant inroads in the region. The Boring Co. will build the Dubai Loop, Emirates is using Starlink to upgrade onboard Wi-Fi across its fleet, and Neuralink Corp. is planning its first clinical trial in the Middle East.
SpaceX is offering 555.6 million shares at a fixed price of $135 each, which would raise about $75 billion. The stock is set to start trading on June 12.
The IPO is expected to rank as the biggest ever, topping Saudi Aramco’s $29.4 billion listing in 2019.