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Goldman Sachs Asset Management Private Equity (previously Goldman Sachs Capital Partners) is the private equity arm of Goldman Sachs, focused on leveraged buyout and growth capital investments globally. The group, which is based in New York City, was founded in 1986.

History

Goldman Sachs has historically invested capital in a variety of businesses alongside its investment banking clients. In the early and mid-1980s, Goldman was a slow entrant into the financing of leveraged buyouts and junk bonds and preferred to focus on its traditional mergers and acquisitions advisory business. Beginning in 1983, however, Goldman began making longer-term equity investments in private equity transactions that came through its investment banking and other clients.

Goldman Sachs Capital Partners was founded in 1986, at the same time that similar groups were founded at other investment banks including Lehman Brothers Merchant Banking, Morgan Stanley Capital Partners and DLJ Merchant Banking Partners. Goldman established investment partnerships that allowed its clients to participate alongside the firm in private equity transactions.

On April 23, 2007, Goldman closed GS Capital Partners VI with $20 billion in committed capital, $11 billion from institutional and high-net-worth investors and $9 billion from Goldman Sachs and its employees. In late 2019, Goldman's Chief Executive, David M. Solomon, announced that the firm would combine GS Capital Partners into one division with Goldman's other direct-investing units, such as the Special Situations Group and Growth Equity unit, called the Merchant Banking Division (MBD), which added up to $140 billion under management.

Investment funds

Since 1992, GSCP has raised third party capital as well as investing on behalf of Goldman, its clients and its employees through institutional private equity funds. GSCP's third party investors include pension funds, insurance companies, endowments, fund of funds, high-net-worth individuals, sovereign wealth funds and other institutional investors.

As of the end of 2008, GSCP had completed fundraising for seven investment funds with total committed capital of approximately US$39.9 billion:

Investments

GS Capital Partners emerged in the late 1990s as one of the largest private equity investors globally competing and partnering with the largest independent firms, Kohlberg Kravis Roberts, Blackstone Group, Bain Capital, Carlyle Group and TPG Capital. Since the raising of its Goldman Sachs Capital Partners 2000 Fund, GS Capital Partners has completed some of the most notable leveraged buyouts:

In addition to its successful buyout transactions, Goldman was involved in the high-profile failed buyout of Harman International Industries (NYSE: HAR), an upscale audio equipment maker. On April 26, 2007, Harman announced it had entered an agreement to be acquired by GS Capital Partners and Kohlberg Kravis Roberts. As the financing markets became more adverse in the summer of 2007, the buyout was on tenuous ground. In September 2007, Goldman and KKR backed out of the $8 billion buyout of Harman. By the end of the day, Harman's shares had plummeted by more than 24% on the news.

References

1. ^ Jenkins, Patrick (December 2, 2019). "Can Goldman's merchant bank help group regain old edge?". The Financial Times. Financial Times.
2. "Goldman Sachs Asset Management Completes Final Close of West Street Capital Partners VIII". www.gsam.com. Retrieved January 20, 2023.
3. GS Capital Partners V Closes at $8.5 Billion Archived October 2, 2009, at the Wayback Machine. PE Source, April 13, 2005
4. "Goldman closes fund after raising $20 bln". Reuters. April 23, 2007. Retrieved January 20, 2023.
5. Zhu, Julie (February 7, 2020). "Exclusive: Goldman Sachs to raise $8 billion for new buyout fund - sources". Reuters.
6. "Goldman Sachs Asset Management Completes Final Close of West Street Capital Partners VIII". Goldman Sachs. September 27, 2022.
7. Azhar, Saeed. "Goldman Sachs CEO says firm to raise ninth private equity fund". Reuters. Retrieved July 9, 2024.
8. ^ "GOLDMAN SACHS ASSET MANAGEMENT RAISES OVER $15 BILLION FOR PRIVATE MARKET SECONDARIES STRATEGIES". Retrieved July 8, 2024.
9. Azhar, Saeed. "Goldman Sachs raises over $15 billion for secondary private-equity deals". Reuters. Retrieved July 8, 2024.
10. "Goldman Sachs raises over $15 billion for secondary private-equity deals". Reuters. September 20, 2023. Retrieved July 4, 2024.
11. "GOLDMAN SACHS ASSET MANAGEMENT RAISES $650 MILLION FOR WEST STREET LIFE SCIENCES I". Goldman Sachs Asset Management. Retrieved July 9, 2024.
12. "Goldman Sachs Asset Management raises $650 mln for life sciences fund". Reuters. Retrieved July 9, 2024.
13. U.S. Investors Agree to Buy Burger King From Diageo for $2.26 Billion. New York Times, July 26, 2002
14. A Lower Price Is Said to Revive Burger King Sale, New York Times, December 12, 2002
15. Grace Wong (May 12, 2006). "Burger King IPO set to fire up". CNN Money. Retrieved September 30, 2007.
16. "Capital Firms Agree to Buy SunGard Data in Cash Deal." Bloomberg L.P., March 29, 2005
17. Do Too Many Cooks Spoil the Takeover Deal?. New York Times, April 3, 2005
18. http://hraunfoss.fcc.gov/edocs_public/attachmatch/FCC-07-185A1.pdf Archived October 18, 2011, at the Wayback Machine
19. Alltel | Investors | Press Release
20. de la MERCED, MICHAEL J. "Biomet Accepts Sweetened Takeover Offer." New York Times, June 8, 2007.
21. Source: Thomson Financial
22. Lonkevich, Dan and Klump, Edward. KKR, Texas Pacific Will Acquire TXU for $45 Billion Bloomberg, February 26, 2007.
23. "KKR, Texas Pacific-led group to buy TXU Corp". Reuters. February 26, 2007. Archived from the original on May 17, 2007. Retrieved January 23, 2009.
24. Harman International press release Archived July 4, 2007, at the Wayback Machine

External links

• Official website

v t e Goldman Sachs
Founders	Marcus Goldman Samuel Sachs
Notable executives	Current Lloyd C. Blankfein (Senior Chairman) David M. Solomon (Chairman and CEO) Former David A. Viniar Gary Cohn Harvey Schwartz Henry Paulson Mark Carney Robert Rubin
Divisions	Goldman Sachs Capital Partners Petershill Partners
Historical components	Commodities Corporation United Capital NN Investment Partners
Buildings	200 West Street 30 Hudson Street
Others	10,000 Small Businesses 10,000 Women Goldman Sachs asset management factor model Goldman Sachs controversies Goldman Sachs Foundation GreenSky List of former employees of Goldman Sachs Symphony Communication

v t e Merchant banking private equity groups (current and prior)
ABN Amro AAC Capital Partners Bank of America Ridgemont Equity Partners Barclays Barclays Private Equity Barings Bank Baring Vostok Capital Partners EQT Private Capital Asia GP Investments Bear Stearns Irving Place Capital CIBC World Markets Trimaran Capital Partners Citigroup Metalmark Capital Court Square Capital Partners CVC Capital Partners Credit Suisse Avista Capital Partners Diamond Castle Holdings Deutsche Bank MidOcean Partners First Chicago Bank (defunct) GTCR Madison Dearborn Partners Goldman Sachs Goldman Sachs Capital Partners JPMorgan Chase CCMP Capital HPS Investment Partners One Equity Partners Lazard Lazard Alternative Investments Lehman Brothers (defunct) Trilantic Capital Partners Morgan Stanley Metalmark Capital Nomura Securities Terra Firma Capital Partners UBS Affinity Equity Partners Capvis Lightyear Capital Wells Fargo Norwest Venture Partners Pamlico Capital William Blair & Company Chicago Growth Partners

• Goldman Sachs
• Mezzanine capital investment firms
• Private equity firms of the United States
• Financial services companies based in New York City
• American companies established in 1986
• Financial services companies established in 1986
• 1986 establishments in New York (state)