Rocket Companies Plans $1.2 Billion Debt Offering

By Hao Liu • Tuesday, June 09 16:09 • Permanent Link

Rocket Companies said it plans to raise $1.2 billion through a two-part debt offering, splitting the deal evenly between $600 million of senior notes due 2031 and $600 million of senior notes due 2034.

The new notes will be guaranteed by the company’s direct and indirect domestic subsidiaries that already back its existing senior notes. Rocket said it intends to use the proceeds to repay Rocket Mortgage’s 2.875% senior notes due 2026 and to retire additional debt at the company and its subsidiaries.

The offering adds two new maturity dates to Rocket’s debt stack: 2031 and 2034. The company’s current 2026 notes are being targeted for repayment with the new proceeds, extending the refinancing timeline by five to eight years. As a result of these announcements, the company's shares have moved 6.15% on the market, and are now trading at a price of $13.109. Check out the company's full 8-K submission here.

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