Catenaa, Thursday, March 12, 2026- Tesla received government clearance to convert its investment in Elon Musk’s xAI into a small stake in SpaceX, ahead of its IPO.
Filings with the US Federal Trade Commission list Tesla as the acquirer of a stake in SpaceX from Musk, who is the CEO of both companies.
The documents, dated March 11, also show Musk selling holdings to investors, including Valor Equity Partners and DFJ Growth.
While the filings are required for transactions valued at more than $133.9 million, details, including the size of the stakes, weren’t disclosed.
The Tesla filings are related to its previously announced $2 billion investment in xAI, which is being rolled over into SpaceX after the recent merger of the AI firm with the space-launch company, Bloomberg News reported.
That investment, announced several days before the SpaceX-xAI tie-up, would equate to a stake for Tesla of less than 1%.
The conversion points to the ongoing reordering of Musk’s vast business empire ahead of this year’s SpaceX IPO, which could be the largest in history.
His companies, spanning industries as varied as electric vehicles, rockets, artificial intelligence, and social media, are already deeply intertwined through financial investments, business agreements, and sometimes even shared personnel.
Musk acquired social media platform Twitter in 2022, renamed it X, and later merged it with xAI in a $33 billion deal.
That paved the way for the SpaceX deal, which created an entity valued at $1.25 trillion when it was announced this February.
Bloomberg reported in January that SpaceX had explored a potential merger with Tesla as part of the work that later led to the xAI tie-up.
