SAN FRANCISCO & PALO ALTO, Calif. – May 28, 2021 – Social Finance, Inc., a leading next-generation financial services platform, and Social Capital Hedosophia Holdings Corp. V (NYSE: IPOE) (“SCH”), a publicly traded special purpose acquisition company, today completed their previously announced transaction to take SoFi public. The transaction forms a leading, publicly traded consumer-focused financial technology platform named SoFi Technologies, Inc. (“SoFi” or the “Company”). The combined company is expected to start trading on The Nasdaq Global Select Market (“Nasdaq”) on June 1, 2021 under the new ticker symbol “SOFI” for SoFi common stock and “SOFIW” for SoFi warrants.
SoFi raised approximately $2.4 billion in cash proceeds from the transaction to fuel growth, market expansion and development of new product offerings, as well as accelerate the Company’s plans to expand geographically and build the first digital one-stop-shop for members to borrow, save, spend, invest and protect their money. SCH shareholders approved the transaction at a general meeting on May 27, 2021. CEO Anthony Noto and SoFi’s management team will continue to lead the combined company.
Anthony Noto, CEO of SoFi, said, “Today marks an important step on our path toward providing an ecosystem of products, rewards and membership benefits all working together to help our members get their money right. All of us at SoFi are humbled to reach this significant milestone in our journey of building a generational company, and we are grateful for the countless individuals who have contributed to advancing our mission of empowering everyone to achieve financial independence to realize their ambitions.”
Chamath Palihapitiya, Founder and CEO of SCH, said, “As a leader and innovator in the financial technology space, SoFi has the opportunity to completely transform the consumer financial services industry with its digital-first ecosystem of offerings. We are excited to work with Anthony and his talented team as SoFi begins its next chapter as a public company.”
As part of the business combination, two new directors, Harvey Schwartz, former President and co-Chief Operating Officer of Goldman Sachs, and Dick Costolo, former Chief Executive Officer of Twitter, join the Board of Directors.
Noto said, “We are pleased to welcome Harvey and Dick to the SoFi Board of Directors, seasoned business leaders who each bring immense collective experience and highly relevant insights about finance, technology and operating a public company that will be beneficial to SoFi and its members.”
Connaught acted as financial advisor, Credit Suisse acted as financial advisor, capital markets advisor and placement agent and Skadden, Arps, Slate, Meagher & Flom LLP acted as legal advisor to SCH. Citi and Goldman Sachs & Co. LLC acted as financial advisors to SoFi and placement agents to the SPAC. Allen & Company LLC acted as a financial advisor to SoFi. Wachtell, Lipton, Rosen & Katz and Goodwin Procter LLP acted as legal advisors to SoFi.
Read the full article here.