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HomeBusinessFinanceGoldman Sachs is acquiring buy now, pay later fintech GreenSky for $2.2...

Goldman Sachs is acquiring buy now, pay later fintech GreenSky for $2.2 billion

David Zalik, founder and CEO of GreenSky.

Chris Hamilton | GreenSky

Goldman Sachs is acquiring digital 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 in a release announcing the transaction, is expected to close by the first quarter of 2022, the companies said on Wednesday. GreenSky shares jumped 44% in premarket trading before they were halted.

“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,” Goldman CEO David Solomon said in the release. “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.”

The move helps Goldman ramp up in consumer finance, a huge opportunity outside of its historic domain of investment banking, trading and wealth management for the rich. Goldman began in retail banking five years ago with its Marcus brand of loans, and has since added automated investing and personal finance, as well as partnerships with Apple, Jetblue and Amazon.

The bank said the GreenSky deal bulks up its customer base and gives it access to GreenSky’s network of more than 10,000 merchants.

This story is developing. Please check back for updates.

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