Rocket Companies jumps as much as 26% in its first day of public trading
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- Rocket Companies, the parent company of Quicken Loans and Rocket Mortgage, on Wednesday priced its initial public offering at $18 per share, below its previously planned range.
- Shares of Rocket rose as much as 26% in the stock's first day of public trading on Thursday.
- The company raised $1.8 billion in its IPO, less than it expected.
- Read more on Business Insider.
Shares of Rocket Companies rose as much as 26%, to $22.76 per share, in the company's public trading debut on the New York Stock Exchange on Thursday. The stock trades under the ticker RKT.
Rocket Companies, the parent company of Quicken Loans and Rocket Mortgage, on Wednesday priced its initial public offering at $18 a share for 100 million shares. That was a change from the company's plan to issue 150 million shares at $20 to $22 each, The Wall Street Journal reported.
The company raised about $1.8 billion in its IPO, less than the $3.3 billion it had expected to raise. If the company had raised the amount it expected, it would've been the second-largest IPO of the year, after Tontine Holdings, Bill Ackman's $4 billion special-purpose-acquisition company, according to Dealogic.
Instead, the Rocket IPO was the seventh-largest this year, according to Dealogic data.
Rocket Companies said in a filing with the Securities and Exchange Commission that it would use the proceeds from its IPO to acquire holding units and Class D common stock from Rock Holdings, owned by its founder and chairman Dan Gilbert.