GreenSky, Inc. (NASDAQ: GSKY) is an Atlanta-based fintech company, which features its proprietary technology to assist with growing ecommerce ecosystem. The company’s Powering Commerce at the Point of Sale technology is highly scalable, unique, patented, and helps businesses offer frictionless promotional payment option to consumers. Banks utilize GreenSky’s technology for loans to super-prime and prime consumers. Overall, GreenSky is the largest financial technology platform for home improvement loan origination.
Shares of the fintech company are skyrocketing 52% through early trading on Wednesday, September 15, 2021. Over the past three months, GreenSky has seen average daily volume of 790,290 shares. However, volume of 13.17 million shares or dollar volume of $156.06 million, has already exchanged hands through early trading on Wednesday.
GreenSky shares are surging after the company announced it has entered into a definitive agreement to be acquired by the Goldman Sachs Group, Inc. (NYSE: GS) in an all-stock transaction valued at $2.24 billion. Under the agreement, GreenSky shareholder will receive 0.03 shares of Goldman Sachs common stock for each common share of GSKY held.
Ultimately, this represents an offer per share of $12.11. The transaction is scheduled to close during the fourth quarter 2021 or the first quarter 2022 and still requires approval from GreenSky shareholders and regulators.
Goldman Sachs benefits from the acquisition by expanding further into fintech and consumer finance. Since its founding, GreenSky has provided home improvement financing to around 4 million customers. The fintech company’s network features over 10,000 merchants and will provide a boost into Goldman’s Marcus consumer business.
“We have been clear in our aspiration for Marcus to become the consumer banking platform of the future, and the acquisition of GreenSky advances this goal,” said David M. Solomon, Chairman and CEO of Goldman Sachs. “GreenSky and its talented team have built an impressive, cloud-native platform that will allow Marcus to reach a new and active set of merchants and customers and provide them with an expanding set of solutions. We welcome the GreenSky team to the Goldman Sachs family.”
Disclosure: Neither Matt Rego nor Spotlight Growth have any position or relationship with any companies mentioned in this article. No payment was made to create this article. This article should not be taken as a solicitation or recommendation to buy or sell any securities. Please conduct your own research and consult your financial advisor to determine your risk tolerance and investment path. We are not licensed brokers or investment advisors.