Goldman Sachs Is ‘Very Open’ To Acquisitions

Goldman Sachs Group Chief Financial Officer Stephen Scherr said on Tuesday the bank is “very open” to acquisitions, especially those that would speed the growth of its existing businesses. 

“We’re … very open to the proposition of acquisitions that fill gaps or accelerate elements of our growth plan,” Scherr said at a conference convened via conference call and webcast, rather than in-person, due to concerns about the coronavirus outbreak, reported Reuters.  

There has been wide investor speculation about Goldman’s appetite and ability to do mergers or acquisitions since rival Wall Street bank Morgan Stanley (MS.N) announced plans last month to buy discount broker E*Trade (ETFC.O). 

Goldman Chief Executive David Solomon has set ambitious targets for the bank to grow its fledgling online consumer bank, Marcus, its credit card business and cash management platform. But industry insiders are skeptical that it can grow quickly without doing a deal. 

Scherr said the bank is not currently looking to do “larger material transactions … in the near term.” 

“I think you’ll find us to be much more acquisitive in the context of accelerating and facilitating the growth of business initiatives that are there, none of which would necessarily present themselves as… material to the firm overall,” he added.