(Bloomberg) -- Opendoor is going public through a merger with Social Capital Hedosophia Holdings Corp. II in a deal that gives the property technology startup an enterprise value of $4.8 billion.

The deal will provide as much as $1 billion in cash, including up to $414 million held by Social Capital II, the blank-check company led by chairman Chamath Palihapitiya, according to a statement on Tuesday that confirmed earlier reporting from Bloomberg.

Social Capital’s shares surged as much as 30% to $17 in early trading in New York before paring the gains. The stock was up 14% as of 8:38 a.m.

Opendoor is the latest startup to go public through a special purpose acquisition company, or SPAC. The investment vehicles have gained popularity this year, offering a faster route for companies seeking to go public without the scrutiny or risks of an initial public offering.

The deal marks the latest milestone in a tumultuous year for Opendoor, which buys homes digitally, makes minor repairs and lists the properties for sale. After the pandemic forced the company to pause operations, Chief Executive Officer Eric Wu announced plans to layoff 35% of its staff.

A booming housing market, however, has lifted the tide of residential real estate companies, especially those that have developed technology to let home buyers and sellers transact in a socially distanced manner. Shares in Zillow Group Inc., Opendoor’s chief competitor, have more than tripled since bottoming out in March.

Opendoor was valued at $3.8 billion in a March 2019 fundraising round, and at the time said it had raised $1.3 billion from investors including Softbank Vision Fund, General Atlantic, Khosla Ventures, NEA and Norwest Venture Partners.

The company is a partnership between venture capitalist Palihapitiya and longtime investor Ian Osborne. Last year, Social Capital’s first blank-check company agreed to merge with billionaire Richard Branson’s space company Virgin Galactic.

(Updates shares.)

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