Investing.com -- SpaceX said Tuesday it will acquire Anysphere, the software company that created the AI coding tool Cursor, for $60 billion in an all-stock transaction.

The aerospace company said it expects to complete the merger during the third quarter of 2026. The announcement follows SpaceX's recent initial public offering on the Nasdaq, which valued the company at more than $2 trillion and raised $86 billion in proceeds.

Under the merger agreement signed on June 16, 2026, a SpaceX subsidiary called X67 Inc. will merge with Cursor. Cursor will become a wholly owned subsidiary of SpaceX after the transaction.

Cursor shareholders will receive SpaceX Class A common stock in exchange for their shares. The conversion ratio will be based on Cursor's $60 billion valuation and the volume-weighted average closing price of SpaceX stock over the seven trading days before the deal closes.

The acquisition gives xAI, the maker of the Grok chatbot that SpaceX merged with in February, a larger presence in the AI coding market. Cursor joins other Silicon Valley companies like OpenAI and Anthropic that have attracted developers with AI-powered coding automation tools.

SpaceX had secured an option to buy Anysphere before its IPO. The agreement included a $10 billion payment to Cursor if SpaceX decided not to complete the acquisition.

Shares of SpaceX traded around $210 following the announcement in pre-market on Tuesday, up roughy 8.7%, further extending its post-IPO gains.