KHC says fair value of SpaceX stake nears $6.83B

Kingdom Holding Co. (KHC) said the fair value of its stake in SpaceX has reached approximately $6.83 billion, following the rocket company's initial public offering on Nasdaq. The Saudi-listed investment firm disclosed the updated valuation in a regulatory filing Monday, citing the June 12 listing price.

KHC first bought into SpaceX in 2020, investing $1.5 billion alongside other institutional shareholders. That position has since become one of the largest single-asset holdings on KHC's books and a major piece of its net asset value. The revaluation adds roughly $2.1 billion to the carrying amount, according to the company.

For investors, the mark-to-market gain is a direct boost to KHC's reported equity. The bigger effect may be on the discount to net asset value at which KHC shares trade. If the market begins pricing the stock closer to the updated NAV, the implied upside could be material.

KHC holds an Alpha Score of 53 out of 100 on AlphaScala, reflecting a Mixed outlook in the Consumer Staples sector. The stock has traded at a persistent discount to book value, partly because of the opaque valuation of unlisted holdings like SpaceX. Monday's filing removes much of that uncertainty for the largest single position.

The company said the valuation reflects the successful completion of the IPO and strong market demand for SpaceX shares. KHC's disclosure is subject to review by the Saudi Capital Market Authority.

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