A Redfin sign in front of a home for sale in Atlanta, Georgia.
Elijah Nouvelage | Bloomberg | Getty Images
Rocket Companies said on Monday it would acquire real estate firm Redfin in an all-stock deal valued at $1.75 billion.
Redfin’s shares rose about 70% before the bell.
Founded in 2004, Redfin provides residential real estate brokerage and mortgage origination services along with reports on the U.S. housing market.
The deal is expected to close in the second or third quarter, Detroit-based fintech Rocket said.
Rocket shareholders will own about 95% of the combined company on a fully diluted basis, while Redfin shareholders will own the rest on deal completion.
