On Thursday, SoFi announced a merger with a SPAC named Social Capital Hedosophia Holdings V (IPOE), led by venture capitalist Chamath Palihapitiya. SoFi is a California- based online one-stop shop personal finance company founded in 2011 which aims to help people achieve financial independence.
Post-merger, SoFi will be valued at $8.65 billion and will have $2.64 billion available including $1.2 Bn PIPE investment and $805 million held at the trust. Shares of "IPOE" jumped 58% at the announcement.
The SoFi announcement comes after several high profile SPACs headed by Palihapitiya this year. So far, "IPOA" has merged with Virgin Galactic "SPCE", "IPOB" merged with the real-estate unicorn Opendoor "OPEN", and “IPOC” merged with Clover Health “CLOV” debuting on Friday.
Chamath has reserved additional names on the NYSE, preparing us for his future listings on the exchange which could attract investor interest.