Goldman Sachs to acquire GreenSky for US$2.24bn

Goldman Sachs, a leading global financial institution, is acquiring fintech lender GreenSky for $2.24 billion as the investment bank pushes further into consumer finance.

The all-stock deal for GreenSky, called the biggest fintech platform for home improvement loans, is expected to close by the first quarter of 2022, the companies said. GreenSky shares surged 53%.

GreenSky’s differentiated lending capabilities and market-leading merchant and consumer ecosystem will help accelerate the efforts of Goldman Sachs to create the consumer banking platform of the future, help tens of millions of customers take control of their financial lives and drive higher, more durable returns.

The acquisition will enhance Goldman Sachs’ ability to provide consumers with the opportunity to save, spend, borrow and invest, and meet customers where they transact. 

“We have been clear in our aspiration for Marcus to become the consumer banking platform of the future, and the acquisition of GreenSky advances this goal,” said David M. Solomon, Chairman and CEO of Goldman Sachs. “GreenSky and its talented team have built an impressive, cloud-native platform that will allow Marcus to reach a new and 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.”

Continuous growing customer base 

Since its founding, GreenSky has provided simple and transparent home improvement financing solutions for approximately four million customers. GreenSky has a growing network of over 10,000 merchants and helps them accelerate their business by incorporating a seamless financing experience into their commerce flow. Aligning GreenSky’s capabilities and growing user base with the expanding products of Marcus by Goldman Sachs creates a compelling banking platform positioned for ‘significant growth’.

“The GreenSky team and I are thrilled to be joining Goldman Sachs,” said David Zalik, Chief Executive Officer of GreenSky.  “From GreenSky’s inception, our mission has been to deliver exceptional value helping businesses grow and delight their customers. In combination with Goldman Sachs, we’re excited to continue delivering innovative point-of-sale payment solutions for our merchant partners and their customers on an accelerated basis.”