Dan and Jennifer Gilbert earlier this week sold "a sliver" of their stock in Rocket Companies Inc. to fund the $500 million he promised to Detroit neighborhoods last week.
Regulatory filings with the U.S. Securities and Exchange Commission on Wednesday evening show that Rock Holdings Inc., of which Gilbert and his wife, Jennifer, are the majority shareholders, divested 20.2 million shares — a sliver of their stake in Rocket Companies Inc.
Those shares were then converted to Class A common stock in the publicly traded Rocket Companies Inc. and sold on March 29 at $24.75 per share, according to regulatory filings. The transaction totaled $499.95 million.
The filings further state the purpose for the fund sale: "... to help fund his recently announced $500-million commitment to revitalizing Detroit neighborhoods." Rock Holdings Inc. and the Gilberts still control about 1.85 billion of Rocket's Class D shares, "implying the sale amounted to about 1 percent of that stake," Crain's reports.
So there you have it: $500 million is top-of-dresser change for Detroit's wealthiest benefactor.