Fintech company Rocket Companies said Monday it will acquire mortgage lending provider Mr. Cooper Group for $9.4 billion. It is the second major deal this month as the company seeks to expand its mortgage offerings on its online platform.
According to Rocket, the deal will help attract about 7 million customers, increase lending volume and recurring revenue, while reducing customer acquisition costs.
Earlier this month, Rocket, a mortgage lending company, acquired real estate listing platform Redfin in a $1.75 billion stock deal.
The deal to purchase Mr. Cooper is expected to generate additional pre-tax revenue of $100 million and potentially save $400 million through operational optimization, corporate expenses and technology investments.
After the transaction is completed, Cooper CEO Jay Bray will lead Rocket Mortgage, the company's flagship business.
Source: Reuters
