Elon Musk's SpaceX Seeks Higher Valuation In $1.7B Funding Round Amid Sexual Harassment Allegations

Tesla Inc TSLA CEO Elon Musk-owned SpaceX is looking to raise $1.725 billion in new capital that could lift the private space firm's valuation to $127 billion, CNBC reported on Sunday, citing a company-wide email.

What Happened: SpaceX is looking to raise fresh funds at $70 per share, a 25% jump in valuation after SpaceX split its stock price 10-for-1 in February, bringing the common stock valuation to $56 a share.

Austin, Texas-based SpaceX is also conducting a secondary sale to company insiders and existing shareholders for up to $750 million in common stock. Secondary share sales provide liquidity to existing investors.

SpaceX did not immediately respond to Benzinga's request for comment.

See Also: How To Participate In SpaceX's Next Raise That May Value The Company At $125B

Why It Matters: The funding follows two key developments for the billionaire entrepreneur: a $44 billion take-private bid for Twitter Inc TWTR and a sexual harassment allegation from a former SpaceX flight attendant. SpaceX paid $250,000, as part of a severance agreement, to the attendant in 2018, according to the Business Insider.

Musk has denied the reports as “wild accusations.”

The world’s richest person is betting on making life multi-planetary and is building reusable rockets with ride-sharing capabilities to transport human and commercial cargo to Mars.