Goldman Sachs
is close to selling its GreenSky unit in a further retreat from the investment bank’s foray into consumer-facing businesses.
The firm is in advanced talks with a group of investors that include Sixth Street, Pacific Investment Management, and
KKR,
The Wall Street Journal reported, citing unidentified people familiar with the discussions.
The deal will be for about $500 million, less than a third of the $1.7 billion Goldman paid for the firm a year-and-a-half ago, the Journal said. Goldman declined to comment when contacted by Barron’s.
Goldman was forced to abandon plans to become a player in consumer banking after its efforts proved less profitable than shareholders had hoped. GreenSky, which specializes in lending money for home improvement, was just one part of the plan. It also started offering deposit accounts and personal loans.
Goldman shares climbed 0.3% to $342.79 in premarket trading Wednesday. They are down 0.4% this year.
Write to Brian Swint at [email protected]
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