The turbulence marks the latest fallout from CEO David Solomon's decision to exit most of Goldman's consumer efforts.
KKR, Apollo Global Management, Sixth Street Partners, Warburg Pincus and Synchrony Bank were among the asset managers and lenders involved in the first round of bids, which began early June, according to the people, who declined to be identified speaking about the sale. The companies declined to comment.
"Everybody's been coming in low, and the Goldman team keeps pushing back, pounding the table about the value of it," said one of the bidders. The bank is continuing negotiations with a smaller group of bidders this week with the hope of ratcheting up the ultimate price, according to the sources.Goldman has been pursuing offers for GreenSky's loan origination business and its book of existing loans separately as well as offers for a single deal, according to the people familiar.
One bidder said the origination platform is worth roughly $300 million, while another said it was worth closer to $500 million. If a deal closed at anywhere near that valuation, it would represent a steep discount to what Goldman paid for it, forcing the company to disclose a writedown hitting its bottom line in an upcoming quarter.
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