A SpaceX insider fundraising could provide a valuation boost for beleaguered Baillie Gifford stablemates Scottish Mortgage (SMT ) and Edinburgh Worldwide (EWI ).

SpaceX founder Elon Musk is reportedly offering to sell insider shares at a price that would bolster the California-based company’s valuation to around $150bn (£118bn), an increase on the $137bn valuation reported in January when it raised $750m from investors.

The business, which is the first private company to send astronauts into orbit, is seeking another $750m tender offer to finance its work, with reports from CNBC and Bloomberg that SpaceX is offering shares at more than $80 apiece.

The valuation uplift could have a knock-on effect for Baillie Gifford’s flagship Scottish Mortgage, whose managers Tom Slater and Lawrence Burns have invested heavily in Musk’s ventures. The latest statistics show that his electric car company Tesla is the third-largest position in the fund at 5.2% while SpaceX makes up 3.6% of the £9bn portfolio.

Scottish Mortgage needs all the help it can get having slumped 58% since its peak in November 2021 as rising interest rates sent speculative growth stocks into reverse. It faces shareholders at its annual general meeting this week where they are likely to demand answers about their diminishing returns.

SpaceX has also made it into the portfolio of Scottish Mortgage stablemate Edinburgh Worldwide (EWI), a £545m portfolio of global smaller companies, of which SpaceX commanded 8.1% at the end of May.

Edinburgh’s shares have suffered even sharper falls, spiralling 67% from their highs in February 2021. It has the misfortune to be the worst-performing Baillie Gifford investment trust, following a lengthy post-pandemic slump.

Numis analyst Gavin Trodd said the reports of an expanding SpaceX valuation would cheer investors given the pressure around financing caused by rising interest rates and fears of a global slowdown.

‘At a time when investors are questioning valuations of growth businesses, it will be reassuring if a funding round can be completed around/above the previous funding round,’ Trodd said.

‘It is a difficult time for investors to assess the outlook for growth companies and their valuations. We expect further volatility as markets adjust to a higher interest rate environment, but we believe that growth companies will still have the scope to deliver attractive returns in the long term.’

However, he added that stock selection and delivering strong operating performance ‘will be increasingly important’.

SpaceX dominates the commercial space launch sector, working with private companies to send satellites into orbit as well as with the National Aeronautics and Space Administration (NASA) and other government agencies. Musk has also run the first private space tourism mission for civilians.

In April, SpaceX built Starship, its most powerful rocket yet, but it blew up on its first flight. Last week the firm had more success, deploying more than 50 broadband internet satellites.