Slide 1: IPOB Social Capital Hedosophia II September 2020
IPOB SOCIAL CAPITAL HEDOSOPHIA II SEPTEMBER 2020
Slide 2: Partner with an iconic technology company
•PARTNER WITH AN ICONIC TECHNOLOGY COMPANY •HELP THEM TRANSITION TO THE PUBLIC MARKETS •ENABLE THEM TO FUND LONG-TERM GROWTH •BUILD A LEGACY COMPANY
Slide 3: US housing market: largest, undisrupted market worth $1.6T annually
•68% OF AMERICANS ARE HOMEOWNERS •5M HOMES ARE SOLD EVERY YEAR IN THE US •THE LARGEST, UNDISRUPTED MARKET IN THE US WORTH $1.6T ANNUALLY •HIGHLY FRAGMENTED INCUMBENTS, LOW NPS AND 28% DO IT AS A PART-TIME JOB
Slide 4: Supply constraints and relocation trends driving housing demand
•LACK OF RESALE INVENTORY AND NEW HOME EXPANSION HAS CONSTRAINED SUPPLY •INCREASING STATE TAXES AND ELIMINATION OF SALT DEDUCTIONS ARE CREATING RELOCATION DECISIONS •WORKING FROM HOME IS ACCELERATING EVERYTHING •75M MILLENIALS ARE STARTING TO ENTER THE HOUSING MARKET •FEDERAL RESERVE INTEREST RATE P
Slide 5: Opendoor market penetration by city
$1,050 0.6x$1,380 0.1x Newark $435 0.2x New York $440 (0.4x) San Francisco San Jose Los Angeles $582 (0.3x) Phoenix $315 3.5x Dallas-Fort Worth $281 3.2x $251 2.4x Atlanta Orlando Raleigh-Durham $313 4.0x $296 3.7x
Slide 6: More offers, more demand, cheaper capital, scaled services
MORE OFFERS MORE DEMAND CHEAPER CAPITAL SCALED VALUE ADDED SERVICES MORE SALES & MORE PURCHASES BROADER GEOGRAPHICAL COVERAGE
Slide 7: Opendoor scale and merger valuation
•4.4x LARGER THAN THE NEXT CLOSEST COMPETITOR •2019 REVENUE OF $4.7B •2023 ESTIMATED REVENUE OF $9.8B •EXISTING PLAYBOOK AT 4% MARKETSHARE CREATES A COMPANY WITH $50B IN REVENUES •MERGER VALUES OPENDOOR AT ENTERPRISE VALUE OF $4.8B – 1.0X 2019A REVENUE OR 0.5X 2023 ESTIMATED REVENUE
Slide 8: Opendoor
Opendoor
Slide 9: Disclaimer: Confidentiality and Disclosures
DISCLAIMER Confidentiality and Disclosures This presentation has been prepared for use by Social Capital Hedosophia Holdings Corp. II (“Social Capital”) and Opendoor Labs Inc. (“Opendoor”) in connection with their proposed business combination. This presentation is for information purposes only and