Goldman Sachs, Barclays among bidders for GM’s credit card business

Goldman Sachs Group Inc is looking to buy General Motors Co’s credit card unit as it looks to double down on its consumer banking arm, the Wall Street Journal reported on Wednesday, citing people familiar with the matter.

Barclays is also among a small number of bidders for the automaker’s credit card business, which has about $3 billion in outstanding balances, the WSJ reported, adding that a decision was expected in the next few weeks.

Goldman currently has a much smaller presence in consumer banking, unlike larger peers JPMorgan Chase & Co (JPM.N) and Citigroup Inc (C.N), and it is an area Chief Executive Officer David Solomon has been aggressively looking to strengthen.

As part of its consumer push, Goldman has been offering personal loans and savings accounts through its online bank Marcus, which has grown quickly since its 2016 launch.

Goldman launched a credit card with Apple Inc (AAPL.O) last year that is synched with iPhone users’ Apple Wallet and can be used to buy Apple products at a discount.

In their pitches to GM, Goldman and Barclays have pushed the idea of cars as e-commerce portals, according to the WSJ report.

GM’s cars are equipped with in-dash e-commerce technology, allowing drivers to order food, find fuel or reserve hotel rooms by tapping icons on the dashboard screen, instead of using smartphones while driving.

GM, Goldman and Barclays declined to comment.

Source: Reuters

Can’t stop reading? Read more