FinTech: Rocket Companies Buys Personal Finance App Truebill For $1.275B

December 20, 2021 | FinTech, News, Takeovers and Buyouts
https://dailyalts.com/wp-content/uploads/2021/12/Truebill.jpg

Truebill helps consumers manage finances including subscriptions, credit scores, spending, and budgets.

Rocket Companies (NYSE: RKT) announced today its acquisition of Truebill, the personal finance app, for $1.275 billion in cash. The deal will bring Truebill’s 2.5 million members as potential clients to the Rocket platform, and add $100 million in annual recurring revenue to Rocket’s $1.3 billion of annualized servicing fee income. (Yahoo Finance)

Truebill

Founded in 2015, Truebill helps its 2.5 milllion members’ with their financial lives, analyzing $50 billion in monthly transaction volume to track credit scores, manage subscriptions, and watch over spending and budgets. It claims also to renegotiate bills on its clients’ behalf – saving them as much as 20% on services including cable and telephone bills.

To date, Truebill has helped its members save $100 million.

Truebill 2021 revenue is more than double that of 2020, while it also doubled its user base over the course of the last 12 months.

“The company is a perfect fit for the Rocket platform,” said Jay Farner, CEO of Rocket Companies. “Truebill’s work helping Americans keep track of their finances and providing guidance that leads to better financial outcomes follows the same philosophy as Rocket Companies – leveraging the power of technology to remove the friction from complex transactions – and applies it to everyday life.”

Farner said Truebill provided a simple, intuitive client experience to help its users save significant money.

Truebill raised $45 million in June at a valuation of $500 million.

Rocket Companies

Comprising Rocket Mortgage, Rocket Homes and Rocket Auto, Rocket Companies is a Detroit-based platform company in the businesses of tech-driven real estate, mortgage and financial services. Typically, its customers are looking to purchase a car, buy or sell a home, or to get a mortgage.

“With the addition of Truebill’s financial wellness services, Rocket Companies will have both a new organic growth opportunity and a significant channel to nurture clients – keeping them engaged in the company’s FinTech ecosystem by providing value between the large financial transactions that Rocket Companies is known for,” Rocket said in a statement.

Given the high valuations that fintechs command, the transaction is also likely to help Rocket’s own market valuation – its shares have declined 23% year-to-date, according to Yahoo Finance Plus data, compared to a 23% gain for the S&P 500.

Related Story: FinTech – Deal-Making In The LatAm Payments Space

Free Industry News

Subscribe to our free newsletter for updates and news about alternatives investments.

  • This field is for validation purposes and should be left unchanged.


Shape

Latest Alternative Investment News

https://dailyalts.com/wp-content/uploads/2022/01/Bink-app-shot.png
FinTech: Lloyds To Acquire Stake In Loyalty App Bink
January 4, 2022     FinTech, News

Lloyds Banking Group (LON: LLOY), Britain’s biggest mortgage provider, will acquire a minority stake in loyalty app Bink, according to a report by Sky News for an undisclosed amount that…

https://dailyalts.com/wp-content/uploads/2022/01/Screenshot-2022-01-04-at-22-29-49-Screenshot-Pawson-2.png
Digital Assets: Coinbase CEO Armstrong Said To Have Splurged $133M On Home In LA
January 4, 2022     Digital Assets, News, Real Estate

An iconic property in Bel Air, Los Angeles, designed by internationally acclaimed English architect John Pawson changed hands last month for $133 million and the buyer was Coinbase (NASDAQ: COIN)…

https://dailyalts.com/wp-content/uploads/2022/01/47752022922_e4569a2f0e_c.jpg
Alternative Investments/ESG: VegTech Invest Launches Plant-Based Innovation & Climate ETF

VegTech Invest advisory has launched the VegTech Plant-based Innovation & Climate ETF (Ticker: EATV), its first financial product. The ETF offers exposure to publicly traded companies actively innovating with plants…

https://dailyalts.com/wp-content/uploads/2022/01/Screenshot-2022-01-04-at-18-48-26-超·世界.png
Venture Capital: Chinese AI Startup Parametrix Raises $100M, Turns Unicorn
January 4, 2022     Artificial Intelligence, News, Venture Capital

Chinese AI company Parametrix.ai has raised $100 million in a Series B round led by Sequoia China and joined by existing investors 5Y Capital and Gaorong Capital. Though the valuation…