Jefferies Financial Group Inc. (NYSE:JEF) was not among the approximately 24 banks selected to underwrite SpaceX’s initial public offering.
Hedge funds have approached Jefferies to arrange short positions on SpaceX shares once they commence trading, according to Bloomberg sources.
The SpaceX IPO is projected to value the company at a minimum of $1.8 trillion.
Jefferies stated it is not promoting short‑selling activity but will provide a “balanced, two‑sided market activity” platform for clients after the shares list.
Wall Street firms typically face legal concerns when one division markets IPO shares while another facilitates short bets.
