Investing.com -- On March 31, 2025, Texas-based residential mortgage provider Mr. Cooper Group Inc. announced a definitive agreement for its acquisition by Detroit-based Rocket Companies, the indirect parent of Rocket Mortgage LLC, in an all-stock transaction valued at $9.4 billion. Following this announcement, S&P Global Ratings placed all ratings on Mr. Cooper, including the ’B’ issuer credit and issue ratings, on CreditWatch with positive implications.

S&P Global Ratings anticipates a full integration of Mr. Cooper into Rocket’s operations post-acquisition. The acquisition is expected to enhance Mr. Cooper’s credit profile as Rocket’s creditworthiness is viewed as stronger. Furthermore, Rocket is anticipated to restructure or refinance Mr. Cooper’s existing senior unsecured debt.

The placement of Mr. Cooper on CreditWatch positive suggests that S&P Global Ratings may raise its ratings on Mr. Cooper by one or more notches once the transaction is finalized. The completion of the transaction is subject to Mr. Cooper’s shareholder approval, customary regulatory approvals, and other closing conditions. The transaction is expected to close in the fourth quarter of 2025.

The CreditWatch placement of Mr. Cooper came after the company announced its agreement to be acquired by Rocket in an all-stock transaction worth $9.4 billion.

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