Billionaire mining magnate Gina Rinehart, through her closely held company Hancock Prospecting, has secured a significant stake, valued at over US$1 billion (A$1.4 billion), in aerospace giant SpaceX. The rocket, artificial intelligence, and satellite technology company recently debuted on the sharemarket, soaring almost 20 per cent to a US$2.1 trillion valuation. This marks Hancock Prospecting’s largest investment outside its core iron ore holdings.
Australia’s richest person expressed profound confidence in SpaceX founder Elon Musk, citing his exceptional achievements building two of the world’s top-10 companies by market capitalisation. “Elon has done what very few people in history have done,” Rinehart stated, noting his ability to not just envision the future but also build companies delivering it, keeping American technology at the forefront. Her investment reflects a belief in Western nations leading globally in technology and innovation.
SpaceX debuted on Wall Street on Friday as one of the first “mega-cap” AI initial public offerings. Shares launched at US$150, well above their US$135 issue price, closing 19.2 per cent higher at US$160.95. Rinehart reiterated her view of SpaceX as a “rare business,” led by an exceptional individual, technically advanced, and operating in crucial sectors with long-term potential. She affirmed Hancock favours investing in industries led by “sensible, hard-working, patriotic and exceptional people,” qualities Musk embodies.
Hancock chief executive Garry Korte revealed Rinehart had several meetings with Musk prior to the IPO, noting SpaceX’s “generous allocation” as a strong endorsement. Korte also highlighted potential future collaborations, suggesting mutually beneficial arrangements could emerge between SpaceX and Hancock Prospecting’s critical minerals investments. This could address growing demand for materials and infrastructure vital for supporting advanced technology, a prospect both parties anticipate.
