Rocket Companies to acquire Truebill for $1.3 billion
Rocket Companies , the Detroit-based platform company consisting of tech-driven real estate, mortgage and financial services businesses – including Rocket Mortgage, Rocket Homes and Rocket Auto – announced its plans to acquire Rocket Money , a personal finance app that helps consumers manage every aspect of their financial lives, for $1.275 billion in cash.
This new line of business will add consistent monthly revenue for Rocket Companies as Truebill is on track to generate $100 million in annual recurring revenue.
Founded in 2015, Truebill helps its 2.5 million members manage subscriptions, improve credit scores, track spending and build budgets in a simple, easy-to-use app. The company also renegotiates bills on its clients’ behalf – saving them as much as 20% on services including cable and telephone bills. Meanwhile, Rocket Companies serves 2.5 million clients.
“We are very impressed with what Truebill has created – providing a simple, intuitive client experience to help its users save significant money. The company is a perfect fit for the Rocket platform. 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.” – Jay Farner, CEO of Rocket Companies.
“What my co-founders and I originally created as a subscription cancelation app has become so much more. Now, millions of Americans are trusting us to help them take control of their financial lives. By joining forces with the Rocket FinTech powerhouse, we will be able to extend our reach and seamlessly connect consumers with even more services. The synergy between Truebill and the Rocket Companies platform could not be stronger, especially when you consider the importance of home ownership as the centerpiece of a healthy financial life.” – Haroon Mokhtarzada, co-founder and CEO of Truebill.
Bottom Line: Truebill’s insurance partner is a recently acquired insurtech.
