Rocket Companies Announces Upsizing and Pricing of Senior Notes due 2031 and Senior Notes due 2034
Rhea-AI Summary
Rocket Companies (NYSE:RKT) priced an upsized private offering of $1.5 billion in senior notes, increased from $1.2 billion. It will issue $900 million of 6.125% notes due 2031 and $600 million of 6.500% notes due 2034, guaranteed by key subsidiaries.
Closing is expected June 16, 2026. Proceeds are intended to repay Rocket Mortgage’s 2026 and 2028 senior notes and other debt, with those notes conditionally called for redemption at 100% of principal plus accrued interest.
Positive
- Upsized senior notes offering to $1.5 billion from $1.2 billion
- Proceeds intended to repay 2026 and 2028 Rocket Mortgage senior notes
- New notes guaranteed on a senior unsecured basis by key domestic subsidiaries
Negative
- New debt adds fixed interest obligations at 6.125% and 6.500% through 2031 and 2034
- Redemptions of 2026 and 2028 notes are conditioned on successful closing of the new offering
News Market Reaction – RKT
On the day this news was published, RKT declined 4.86%, reflecting a moderate negative market reaction. Argus tracked a peak move of +2.8% during that session. Our momentum scanner triggered 20 alerts that day, indicating elevated trading interest and price volatility. This price movement removed approximately $1.91B from the company's valuation, bringing the market cap to $37.48B at that time.
Data tracked by StockTitan Argus on the day of publication.
AI-generated analysis. How Rhea-AI works. Not financial advice.
The Notes will initially be fully and unconditionally guaranteed, jointly and severally, on a senior unsecured basis by each of the Company's direct and indirect domestic subsidiaries that are guarantors under the Company's existing senior notes.
The Offering is expected to close on June 16, 2026, subject to certain customary conditions.
The Company intends to use the proceeds from the Offering to repay Rocket Mortgage, LLC's
The Company issued conditional notices of redemption for the entire outstanding principal amount of each of the 2026 Rocket Mortgage Notes and the 2028 Rocket Mortgage Notes to be redeemed on or about June 19, 2026 and July 9, 2026, respectively, at a redemption price equal to
This press release does not constitute a notice of redemption with respect to the 2026 Rocket Mortgage Notes or the 2028 Rocket Mortgage Notes.
The Notes are being offered only to persons reasonably believed to be qualified institutional buyers in reliance on Rule 144A under the Securities Act, and outside
This press release shall not constitute an offer to sell or the solicitation of an offer to buy any security and shall not constitute an offer, solicitation or sale in any jurisdiction in which such offering, solicitation or sale would be unlawful.
Forward-Looking Statements
This press release contains forward-looking statements within the meaning of Section 27A of the Securities Act and Section 21E of the Securities Exchange Act of 1934, as amended, which involve risks and uncertainties. These forward-looking statements are generally identified by the use of forward-looking terminology, including the terms "anticipate," "believe," "could," "estimate," "expect," "intend," "may," "plan," "potential," "predict," "project," "should," "target," "will," "would" and, in each case, their negative or other various or comparable terminology. All statements other than statements of historical facts, including statements regarding the Offering, our strategy, future operations, future financial position, future revenue, projected costs, prospects, plans, objectives of management and expected market growth are forward-looking statements. As you read this press release, you should understand that these statements are not guarantees of performance or results. They involve known and unknown risks, uncertainties and assumptions, including those described under the heading "Risk Factors" in our Annual Report on the Form 10-K for the fiscal year ended December 31, 2025, filed with the Securities and Exchange Commission (the "SEC") on March 2, 2026, and our Quarterly Report on Form 10-Q for the quarter ended March 31, 2026, submitted to the SEC on May 11, 2026. Although we believe that these forward-looking statements are based upon reasonable assumptions, you should be aware that many factors could affect our actual financial results or results of operations and could cause actual results to differ materially from those in the forward-looking statements. The forward-looking statements made herein are made only as of the date of this press release. We expressly disclaim any intent, obligation or undertaking to update or revise any forward-looking statements made herein to reflect any change in our expectations with regard thereto or any change in events, conditions or circumstances on which any such statements are based. All subsequent written and oral forward-looking statements attributable to us or persons acting on our behalf are expressly qualified in their entirety by the cautionary statements contained in this press release.
View original content to download multimedia:https://www.prnewswire.com/news-releases/rocket-companies-announces-upsizing-and-pricing-of-senior-notes-due-2031-and-senior-notes-due-2034-302795925.html
SOURCE Rocket Companies, Inc.