Goldman says $ 2.2 billion purchase from BNPL supplier GreenSky will help grow Marcus – TechCrunch

Goldman this morning Sax announces plans to buy B2B2C GreenSky lenders for transactions worth $ 2.24 billion. consumers to the business. It aims to provide new products and new methods. Marcus of Goldman Sachs Financial products brand.

Goldman launched Marcus five years ago as a consumer-centric brand. This is to counter the growth of FinTech start-ups, neobanks and online trading platforms that have emerged over the past decade. It has attracted 8 million users since its launch, but is ahead of many. So-called Challenger Bank – Marcus sues Chime and Robin Hood between banking and business applications (at least for number of users).

But with the purchase of GreenSky, we want to add another way to bring consumers into the process of achieving Marcus’ goals.

GreenSky operates a platform that facilitates the financing of high value products such as: Home improvement project Also Selective dental or medical procedure. This will allow brands like The Home Depot to offer installment loans to customers at the point of sale, as well as dental and dental practice, which will increase customer sales and conversions. GreenSky then sells these installment loans to many banks and other lending partners.

This transaction can be seen as a way for Goldman to enter the “buy now, pay later” trend and provide Marcus users with an additional means of raising funds for their purchases. This market has recently taken off As evidenced by Square’s acquisition of Afterpay, PayPal’s acquisition of Paidy, when Amazon signs a contract to provide BNPL funding through Affirm.

But according to Stephanie Cohen, Global Co-Head of Consumer & Wealth Management at Goldman Sachs, the acquisition is just as important as attracting GreenSky clients to the Marcus ecosystem. She also believes that by bringing GreenSky to Goldman Sachs and praising its balance sheet, there is no limit to the scale to which it can grow.

That said, don’t expect Goldman or Marcus to start offering BNPL rentals for their daily purchases anytime soon. Cohen says Green Sky is attractive because of the expensive nature of home improvement rentals.

To learn more about the company’s plans, we spoke to Cohen about the deal and asked how GreenSky fits into Marcus and other Goldman businesses. Below is a full interview, slightly edited for length and clarity.

Goldman Says $ 2.2 Billion Purchase From Supplier BNPL GreenSky Will Help Expand Marcus – TechCrunch Source Link Goldman Says $ 2.2 Billion Purchase From Supplier BNPL GreenSky Will Help Expand Marcus – TechCrunch

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