Rocket Companies’ acquisition of mega-servicer Mr. Cooper Group has now officially been completed.
In a release today announcing the completed $14.2 billion deal, Rocket Companies CEO Varun Krishna said that coupled with the completed acquisition of Redfin they are “paving the path for Americans to own the dream.”
“Jay Bray and his team have built a technology-driven platform that is the backbone of Mr. Cooper, helping it scale to become the largest servicer in the country,” he continued. “By integrating Mr. Cooper’s servicing strength with Rocket’s origination capabilities and AI technology and established strong national brand, our goal is to lower costs and make the process easier.”
Mr. Cooper CEO Jay Bray will transition into the role of Rocket Mortgage president and CEO, as all of the company’s servicing functions rebrand under the Rocket umbrella.
Bray said the acquisition brings a multi-year journey to a close as Mr. Cooper became the “nation’s largest servicer and produced enormous value for our clients, partners, stakeholders and investors.”
“Now, by joining forces with Rocket, we start a new journey, which I believe offers an even bigger opportunity,” he continued. “Through the power of our platform and our people, we will create a more personalized experience that makes owning a home more attainable and easier to navigate. Together, we will deliver the change the housing industry needs.”
First announced by Rocket back in March, the acquisition was cleared to move forward by the Federal Housing Finance Agency (FHFA) in August, with a stipulation that the merger is “subject to appropriate conditions.”
Said stipulations made by the FHFA are that the combined company should not exceed a 20% counterparty risk limit as well as the GSEs retaining “strict counterparty concentration risk limits at 20%” and imposing “other appropriate financial and operating safeguards.”
