Key facts
- SpaceX's IPO underwriters have excluded investors from China and Hong Kong.
- Underwriters are instructed not to accept orders from customers in these regions.
- The exclusion is due to regulatory and compliance concerns.
- US restrictions on critical technology exports are cited as a reason.
- Foreign investment is restricted in China's heavily regulated military-linked space sector.
SpaceX's planned initial public offering, which is expected to raise $75 billion, will exclude investors from China and Hong Kong. Lead banks managing the offering have instructed members of the underwriting syndicate not to accept orders from customers in these regions, including private banking clients. This decision stems from regulatory and compliance concerns, particularly in light of U.S. restrictions concerning the export of critical technologies. Foreign investment is tightly restricted or off-limits in China's space sector, which is heavily regulated by the country's military. SpaceX's website and IPO marketing documents were not accessible in Hong Kong and mainland China. The company kicked off marketing roadshows on Thursday in New York.