S&P 500 Blocks SpaceX Fast Entry, Refuses to Waive Profitability Requirement on June 4

According to S&P Dow Jones Indices, the S&P 500 stock index refused on June 4 to waive key listing requirements for SpaceX's accelerated entry following its initial public offering. The decision means SpaceX will not gain expedited access to passive investment funds that automatically buy S&P 500 components.

S&P Dow Jones Indices had considered shortening the IPO seasoning period from 12 to six months, waiving the investable weight factor requirement, and waiving profitability standards for so-called MegaCap companies. SpaceX currently does not meet profitability requirements and plans to offer only approximately 3% of IPO shares to public investors, with a debt load of $29 billion.