Goldman Sachs (NYSE:GS) is in “advanced talks” over the sale of home renovations loan business GreenSky, according to a Wall Street Journal report, as the bank's efforts to exit non-core businesses continue.
GreenSky may be sold for around $500 million, the report suggests, marking a significant loss from the $1.7 billion Goldman paid in its 2021 acquisition of the lender.
If confirmed, it will be the latest side business to be divested by Goldman as the bank backtracks on consumer finance and the mass market, to revert to core banking and a focus on its high net-worth clientele.
Goldman has seen over US$3 billion of losses over the past three years as it sought to tap into mass-market finance.
David Solomon, chief executive since 2018, has been under increasing pressure to revitalize Goldman's performance, especially after a 60% drop in profits in the second quarter amid writedowns on consumer businesses and real estate investments.