Rocket Companies, a leading mortgage lender operating under the Rocket and Quicken brands, announced terms for its IPO on Tuesday. In its latest filing, the company also added 14 new underwriters.
In what would be the year's largest IPO so far, the Detroit, MI-based company plans to raise $3.2 billion by offering 150 million shares (100% synthetic secondary) at a price range of $20 to $22. At the midpoint of the proposed range, Rocket Companies would command a fully diluted market value of $42 billion.
Rocket Companies' flagship business, Rocket Mortgage, is an online platform for applying for a mortgage. The company has also expanded into real estate services, personal lending, and auto sales.
Rocket Companies was founded in 1985 and booked $5.9 billion in revenue for the 12 months ended December 31, 2019. It plans to list on the NYSE under the symbol RKT. Goldman Sachs, Morgan Stanley, Credit Suisse, J.P. Morgan, RBC Capital Markets, Allen & Company, BofA Securities, Barclays, Citi, and UBS Investment Bank are the joint bookrunners on the deal. It is expected to price during the week of August 3, 2020.
