Social Capital Hedosophia Holdings is a partnership between Chamath Palihapitiya, the founder and current Managing Partner of Social Capital, and Ian Osborne, a co-founder and the current CEO of Hedosophia. Social Capital Hedosophia Holdings unites technologists, entrepreneurs and technology-oriented investors around a shared vision of identifying and investing in innovative and agile technology companies. We believe that our management team’s relationships with leading technology company founders, executives of private and public companies, venture capitalists and growth equity fund managers, in addition to the extensive industry and geographical reach of Social Capital and Hedosophia’s networks, will give us a competitive advantage in pursuing a broad range of opportunities. Our management team believes that its ability to identify and implement value creation initiatives will remain central to its differentiated acquisition strategy.
Social Capital is a Silicon Valley based technology holding company whose mission is to advance humanity by solving the world’s hardest problems. It was founded by Chamath Palihapitiya in 2011 to invest capital across the company lifecycle, from early stage startups to transformational public companies. The platform is oriented toward long term ownership and has a strong investment track record and experience driving dramatic growth. Social Capital focuses on investing in fast growing companies creating significant disruption in multiple industries including healthcare, education, financial services, artificial intelligence and social media. Drawing on the experience of Mr. Palihapitiya, the firm has created a growth platform that uses data science to identify investment opportunities, drive growth and improve portfolio company operational performance. Social Capital has been an early and active investor in companies that have demonstrated strong value creation in the public markets, such as Slack Technologies (“Slack”), a company that completed its direct listing in June 2019 and had a market capitalization of approximately $16.1 billion as of October 5, 2020 and Box Inc. (“Box”), a company that completed its initial public offering in January 2015 and that had a market capitalization of approximately $2.7 billion as of October 5, 2020. Social Capital was also an early investor in Yammer, Inc. (“Yammer”), a company purchased by Microsoft Corporation for $1.2 billion in 2012. Other investments with strong private market value creation includes include SurveyMonkey Inc. (“SurveyMonkey”), Intercom, Inc. (“Intercom”), Netskope, Inc. (“Netskope”) and Wealthfront, Inc. (“Wealthfront”). Not all of the companies in which Social Capital has invested have achieved the same level of value creation.
Hedosophia, an investment firm founded in 2012, has deployed more than $1.5 billion of capital across its investment platforms as of June 30, 2020, and has offices in London, Los Angeles and Beijing. Hedosophia has a broad remit to invest globally, but has a particular focus on growth investments in Internet and technology companies in the United States, China and Europe. Hedosophia provides targeted advice and guidance to portfolio companies, specifically on international expansion, market entry, strategic partnerships and joint ventures and government and regulatory matters. Hedosophia also benefits from the network that its Co-founder and Chief Executive Officer, Ian Osborne, has established, including by virtue of the financial advisory firm, Connaught, which he founded in 2014.
Our management team is led by Chamath Palihapitiya, Chairman of our board of directors and our Chief Executive Officer, and Ian Osborne, our President and one of our directors.
Prior to founding Social Capital, Mr. Palihapitiya served as Vice President of User Growth at Facebook, and is recognized as having been a major force in its launch and growth. Mr. Palihapitiya was responsible for overseeing Monetization Products and Facebook Platform, both of which were key factors driving the increase in Facebook’s user base to more than 750 million individuals worldwide. Prior to working for Facebook, Mr. Palihapitiya was a principal at the Mayfield Fund, one of the United States’ oldest venture firms, before which he headed the instant messaging division at AOL. Mr. Palihapitiya is regarded as a top technology sector venture capitalist and visionary because of his track record of identifying promising opportunities and nurturing their growth to become established players. He graduated from the University of Waterloo, Canada with a degree in electrical engineering.
Mr. Osborne is the co-founder and CEO of Hedosophia, an investment firm, and founder of Connaught, a financial advisory firm. Mr. Osborne has advised leading Internet and technology companies, their founders and CEOs, since 2009. From 2010 to 2012, Mr. Osborne was a partner at DST Global, a family of funds focused on investing in Internet companies, with notable successes including Alibaba, Airbnb, Facebook, Spotify and Twitter. Mr. Osborne was educated at King’s College London and the London School of Economics.
In May 2017, Mr. Palihapitiya and Mr. Osborne founded Social Capital Hedosophia Holdings Corp. (“IPOA”), a blank check company incorporated for the purposes of effecting a business combination. Mr. Palihapitiya served as the Chief Executive Officer and Chairman of the board of directors and Mr. Osborne served as President and as a director of IPOA. IPOA completed its initial public offering in September 2017, in which it sold 69,000,000 units, each consisting of one IPOA Class A ordinary share and one-third of one warrant for one IPOA Class A ordinary share, for an offering price of $10.00 per unit, generating aggregate proceeds of $690,000,000. In October 2019, IPOA consummated a merger with Virgin Galactic.
Virgin Galactic is a vertically-integrated aerospace company pioneering human spaceflight for private individuals and researchers. It believes the commercial exploration of space represents one of the most exciting and significant technology initiatives of our time. It is embarking on this commercial exploration journey with a mission to put humans into space and return them safely to Earth on a routine, consistent and affordable basis. Using its proprietary and reusable technologies, and supported by a distinctive, Virgin-branded customer experience, it is developing a spaceflight system designed to offer customers a unique, multi-day experience culminating in a spaceflight that includes several minutes of weightlessness and views of Earth from space. It is in the final stages of development, having already completed two crewed flights of its vehicle into space, and anticipates initial commercial launch in 2020.
Virgin Galactic’s common stock currently trade on NYSE under the symbol “SPCE”. The closing price of Virgin Galactic’s common stock on October 5, 2020 was $21.01. Including the warrants underlying the units (assuming such warrants were exercised on a cashless basis for 0.5073 shares prior to such warrants being redeemed for $0.01 per warrant), the return to investors who purchased units in IPOA’s initial public offering was 145.6% through October 5, 2020.
In October 2019, Mr. Palihapitiya and Mr. Osborne founded Social Capital Hedosophia Holdings Corp. II (“IPOB”) and Social Capital Hedosophia Holdings Corp. III (“IPOC”), each a blank check company incorporated for the purposes of effecting a business combination. IPOB completed its initial public offering in April 2020, in which it sold 41,400,000 units, each unit consisting of one IPOB Class A ordinary share and one-third of one redeemable warrant for one IPOB Class A ordinary share, for an offering price of $10.00 per unit, generating aggregate proceeds of $414,000,000. IPOB’s units, Class A ordinary shares and warrants currently trade on NYSE under the symbols “IPOB.U,” “IPOB” and “IPOB WS,” respectively. IPOC completed its initial public offering in April 2020, in which it sold 82,800,000 units, each unit consisting of one IPOC Class A ordinary share and one-third of one redeemable warrant for one IPOC Class A ordinary share, for an offering price of $10.00 per unit, generating aggregate proceeds of $828,000,000. IPOC’s units, Class A ordinary shares and warrants currently trade on NYSE under the symbols “IPOC.U,” “IPOC” and “IPOC WS,” respectively. Mr. Palihapitiya is the Chief Executive Officer and Chairman of the Board of Directors of IPOB and IPOC, Mr. Osborne is the President and a director of IPOB and IPOC, and each of our other officers is an officer of IPOB and IPOC, and each of the foregoing owe fiduciary duties under Cayman Islands law to IPOB and IPOC.
IPOB has not yet consummated its business combination. However, on September 15, 2020, IPOB announced that it had entered into a definitive agreement with Opendoor Labs Inc. (“Opendoor”). The transaction is subject to approval of IPOB’s shareholders and other customary closing conditions. IPOC has not yet consummated its business combination. However, on October 6, 2020, IPOC announced that it had entered into a definitive agreement with Clover Health Investments, Corp. (“Clover Health”). The transaction is subject to approval of IPOC’s shareholders and other customary closing conditions. Mr. Palihapitiya and Mr. Osborne have also recently incorporated Social Capital Hedosophia Holdings Corp. IV (“IPOD”) and Social Capital Hedosophia Holdings Corp. VI (“IPOF”), each a blank check company incorporated as a Cayman Islands exempted company for the purpose of effecting its own initial business combination. Mr. Palihapitiya is the Chief Executive Officer and Chairman of the Board of Directors of IPOD and IPOF, Mr. Osborne is the President and a director of IPOD and IPOF, and each of our other officers is an officer of IPOD and IPOF and owe fiduciary duties under Cayman Islands law to IPOD and IPOF.
Our management team also includes Steven Trieu, our Chief Financial Officer, and Simon Williams, our General Counsel and Secretary, and Jay Parikh, our director nominee. Mr. Trieu is a Partner and the Chief Financial Officer at Social Capital with more than twelve years of experience working in finance and operations at large technology companies including Quora, Inc. (“Quora”), Facebook, Inc. (“Facebook”) and Yahoo!, Inc. (“Yahoo”). Mr. Williams is an English-qualified solicitor with more than thirteen years of experience working in international law firms and investment businesses.