Goldman Sachs buys fintech GreenSky for $ 2.2 billion
Goldman Sachs is investing $ 2.2 billion to acquire GreenSky, a fintech company that offers fast and easy online lending. The investment bank buys it to improve and further develop its consumer credit business.
According to CNBC, Goldman Sachs signed an agreement with GreenSky, which has been described as the largest online lending platform for home improvement loans. It has been revealed that the companies’ transactions will close in the first quarter of 2022.
The buyout will help Goldman Sachs strengthen its consumer credit division. This adds a new opportunity for the company to focus on services outside of investment banking and wealth management for the large entities for which it is originally known.
Its acquisition of GreenSky is also a major improvement since the company launched its retail banking business just five years ago. It expanded during this time and few other services were offered, including personal finance and automated investing. And before having GreenSky in his portfolio, he already partnered with Amazon, Apple and Jetblue.
“We have clearly expressed our aspiration to make Marcus the consumer banking platform of the future, and the acquisition of GreenSky advances that goal,” said Goldman Sachs Chairman and CEO David M. Solomon , in a press release. Press release. “GreenSky and his talented team have built an impressive cloud native platform that will allow Marcus to reach a new active set of merchants and customers and provide them with an expanding set of solutions. We welcome the GreenSky team to the Goldman Sachs family.
Additionally, the New York-headquartered financial and investment bank said that in addition to expanding its customer base, the deal with GreenSky also gives the company access to its more than 10,000 merchants. Based on the deal, David Zalik, CEO of GreenSky, will join Goldman Sachs as one of its partners.
Meanwhile, it has been reported that Goldman Sachs has been eyeing GreenSky for years. In fact, in 2019 he considered buying the Atlanta, Ga week. Finally, with GreenSky on board, the bank will be able to provide customers with better services related to saving, spending, borrowing or investing.