Finance
Goldman to Hand Off a $2 Billion Credit-Card Book to Barclays
- Jettisoning GM business is part of Goldman’s U-turn on retail
- Bank instead focused on investment banking, asset management
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Goldman Sachs Group Inc. is set to hand off a $2 billion portfolio of loans made to General Motors Co. customers after its foray into the credit-card business ended up a costly whiff.
The Wall Street giant is poised to sell the portfolio of loans to Barclays Plc at a discount to the value of the outstanding balances, according to a person with knowledge of the matter, who asked not to be identified because the deal hasn’t been announced. Goldman Chief Executive Officer David Solomon said Monday the bank expects to take a $400 million hit from the transition of its GM cards business and other small retail ventures.