Elon Musk, Chief Executive of Tesla, has suffered the largest single-week loss of personal wealth on record, following a sharp decline in the value of SpaceX.
According to Forbes on Tuesday, Musk’s net worth fell from $1.45 trillion to just under $1.1 trillion. The drop was triggered by a nearly 30 per cent fall in SpaceX’s share price from the peak it reached on 16th June.
SpaceX had initially soared after its record-breaking initial public offering. In the first three days of trading, its shares climbed by as much as 67 per cent, pushing the company’s valuation above $1.8 trillion. Musk became the world’s first trillionaire on 12th June, when his fortune rose from $707 billion to $1 trillion.
The gains proved short-lived. The stock has now fallen for three consecutive trading sessions, erasing roughly $928 billion from its peak market value of $2.9 trillion. The company is now valued at about $2 trillion.
Musk’s fortune remains heavily tied to his 38 per cent stake in SpaceX, alongside his 11 per cent holding in Tesla and other investments.
SpaceX posted its steepest one-day decline since listing on Monday, dropping 16.4 per cent. The fall followed the announcement of plans to issue its first investment-grade bonds to raise at least $20 billion for artificial intelligence expansion. The shares closed at $154, still above the IPO price of $135 set on 12th June.