E81: $5b ByteDance buyback at $268b, New SpaceX tender at $175b valuation, Epic Games LEGO Fortnite a MASSIVE success | Pre-IPO Stock Podcast – Dec 11, 2023 | Clint Sorenson, Nick Fusco, Aaron Dillon

This Week in Pre-IPO Stocks

00:16 | $5b ByteDance buyback at $268b
- $5b buy back at $160.00/share, or $268b valuation
- First ever pre-IPO stock buy back???
- Pitchbook has a $220b valuation as of Mar 2023
- +37% from implied valuation of $196b based on secondary market price performance
- $29 billion in Q2 and $85 billion annually with a 67% jump in net profit
10:08 | New SpaceX tender at $175b valuation
- SpaceX announced their Dec 2023 tender
- $175b valuation at $95.00/share
- Raising $500m to $750m
- +17% from last round in Jul 2023 at $150b valuation
- +28% from valuation at beginning of 2023, $137b valuation
- Nick Fusco: “The price they're [SpaceX] setting is almost methodical. It steps up consistently and it's almost not even market driven. It's kind of like it's driven by them internally at SpaceX, right? So if we can see these coming and there's always enough demand to satiate it, I can look at it as is it the tail wagging the dog or I can look at it as it might be worth way more interestingly. They are throttling it because there's
so much demand on the back of it. Just every time we're looking at the market, SpaceX is one of those other anomalies in there. It defied where the private markets have performed over the last year or two, even in the down market. And then the buy side demand on it has been traditionally higher than most other stocks as well. So I don't know which way it's going to go, but I feel as though they internally as a company, have so much control over that share price that it's not necessarily going to going to be correlated as well to other names in the market.”
15:00 | Epic Games LEGO Fortnite a MASSIVE success
- LEGO Fortnite launched on Dec 7, 2023
- New Fortnite player record; 6.6 live players, 11.6m watchers ... of which, 2.4m live LEGO players
- Minecraft like experience and available for 10yrs+ vs the standard 13yrs+
- Sony and KIRKBI, the family-owned holding and investment company behind The LEGO Group, each invested $1b ($2b total) into Epic Games in Apr 2022 at a $31.5b valuation
- ApeVue data has Epic down 65% since Apr 2022 to an implied $11b valuation