Rocket lands new $1 billion three-year revolver

By William Gullotti

Buffalo, N.Y., Aug. 10 – Rocket Mortgage, LLC, an indirect subsidiary of Rocket Cos., Inc., entered into a new $1 billion revolving credit agreement with JPMorgan Chase Bank, NA as administrative agent, according to an 8-K filing with the Securities and Exchange Commission.

Signed Wednesday, the new revolver will mature Aug. 10, 2025.

Facility borrowings will bear interest at SOFR plus an applicable margin. The company will also be responsible to pay a commitment fee on the facility’s unused commitments. The margin and fee are determined by the company’s corporate credit rating.

The company is subject to certain financial maintenance covenants under the new agreement, requiring Rocket and its subsidiaries to not exceed specified net leverage and corporate net debt ratios at the end of each fiscal quarter and to maintain minimum liquidity and tangible net worth.

Further details were not disclosed in the filing.

Rocket’s previous revolver, signed Aug. 10, 2021 also with JPMorgan, was terminated at closing without incurring any termination penalties or prepayment premium.

Rocket Cos. is a personal finance and consumer services holding company based in Detroit.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.