Rocket Companies expanded its board of directors from eight to nine, adding an artificial intelligence (AI) and fintech expert.
Rocket — under the helm of Varun Krishna, a veteran in the financial technology world — is becoming more focused on technology than ever. Onboarding Alastair (Alex) Rampell highlights Rocket’s priority of becoming a fintech company.
The board voted to fill its newly created vacancy by appointing Rampell to serve as a Class II director, effective Feb. 1, according to an 8-K filing with the Securities and Exchange Commission (SEC) on Thursday.
Rampell will serve “for a term expiring at the company’s annual meeting of stockholders to be held in 2025 and until his successor is elected and qualified, subject to his earlier death, resignation, retirement, disqualification or removal.”
According to Rocket, Rampell has been an “advocate of the responsible use of artificial intelligence (AI), forecasting that generative AI will usher in significant transformation and disruption in the financial services space.”
Rampell currently serves as general partner at Andreessen Horowitz, where he has focused on financial services since October 2015. He also serves on the board of several Andreessen Horowitz portfolio companies and has led several of the firm’s investments.
Rampell co-founded a number of companies, including Affirm – a fintech company with a “buy now, pay later” service for online and in-store purchases that went public in 2021.
He also co-founded TrialPay, an alternative payment platform that enables customers to pay for one item by trying or buying something else. TrialPay was acquired by Visa in 2015.
“Alex possesses a rare and remarkable perspective on the intersection of technology, finance and emerging trends. For nearly three decades, he has been creating tech products that simplify the payments and financial processes for a number of large companies,” Dan Gilbert, founder and chairman of Rocket Companies, said in a prepared statement.
“As Alex joins our Board, I look forward to his insight and having his influence on our business as we continue pursuing our mission of AI-powered homeownership,” Gilbert added.
Rampell will receive an annual cash retainer of $75,000, prorated for partial years of service. He will also receive a grant of restricted stock units, with an initial grant value equal to $215,000, subject to vesting after one year, the 8-K filing noted.
“Thereafter, Mr. Rampell will be eligible to receive annual equity grants at each annual meeting of stockholders as determined by the Board for non-affiliate director compensation from time to time, provided that at the first annual meeting following appointment, Mr. Rampell will receive a prorated amount to reflect the period of time between his appointment date and the annual meeting,” the filing stated.
Rocket’s expansion of its board started after it added Krishna in December. His term is scheduled to last until the company’s 2026 annual meeting of stockholders.
Rocket Mortgage ranked as the third-largest lender in the U.S. in 2023, producing an origination volume of $79.9 billion, according to data from Inside Mortgage Finance (IMF). In the fourth quarter, the Detroit-based lender originated $18.4 billion, down from $22.2 billion in the third quarter, per IMF.
Rocket is expected to release its fourth-quarter and full year 2023 financial earnings in the coming weeks.
