Rocket Companies, Inc. announced on March 31, 2025, a definitive agreement to acquire Mr. Cooper Group Inc. in an all-stock transaction valued at $9.4 billion. Under the terms of the agreement, Mr. Cooper shareholders will receive a fixed exchange ratio of 11.0 Rocket shares for each share of Mr. Cooper common stock. This represents a value of $143.33 per share based on Rocket's closing price on March 28, 2025, and a 35% premium over Mr. Cooper's 30-day volume weighted average price.
The merger is strategically designed to create a comprehensive homeownership experience, combining Mr. Cooper's robust servicing platform with Rocket's brand and marketing capabilities. The combined entity is projected to manage a servicing book of $2.1 trillion across nearly 10 million clients, representing one in every six mortgages in America. This scale is expected to drive higher loan volume, long-term client relationships, and lower client acquisition costs.
The transaction has been unanimously approved by the Boards of Directors of both companies and is anticipated to close in the fourth quarter of 2025, subject to shareholder and regulatory approvals. Mr. Cooper Group's Chairman and CEO, Jay Bray, is expected to become President and CEO of Rocket Mortgage upon closing. Additionally, Mr. Cooper will declare and pay a $2.00 per share dividend prior to the transaction's completion.
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