Focused on an attempt to generate a steadier income and greater potential to investors, Goldman Sachs is planning to merge four private-investments groups into a single unit.
Combining separate units investing in different private companies, hard-to-secure deals, and real estate, the newly formed division is expected to handle around $140 billion in assets alone.
The merger is said to take place in over several months.
Goldman’s executives hope that CEO David Solomon’s changes to a company that is historically known to thrive in banking investments and trading would potentially boost revenue and its stale price in stock.
Goldman Sachs also plans to hold a fundraiser campaign to raise funds from potential outside investors, instead of placing and putting up its own money like it constant did in its past privatized equity ventures, people involved in the plans told Wall Street.
John Waldron, President of Goldman Sachs, reportedly said at a conference in May that the plan to revamp Sachs’ private investment strategies “will be a multi-year effort to [enrich] this business into more fee revenue and a more balanced business [venture].”
