Goldman CEO DJ Dipshit Fails Again

New article by CNBC: “Goldman Sachs Faces Big Write Down on CEO DJ David Solomon’s Ill-fated Greensky Deal”

So basically Goldman bought it for $2.24bn but bidders are only valuing it at $300-500mm LMFAOOO. No one wants to buy it. This guy legit sucks.

“Under CEO DJ David Solomon, Goldman bought Atlanta-based GreenSky for $2.24 billion to help accelerate its push into consumer finance.”

18 months later dude changes his mind and tries to sell it. But sadly:

“One bidder said the origination platform is worth roughly $300 million, while another said it was worth closer to $500 million.”

 

Yeah it’s appalling to see what’s happened over the past few years, especially months.

Guy flies around like a king while juniors work like 100 hours a week. Then the bill comes due for his fuckups and he lays off said juniors.

Now those juniors who are still there are working twice (soon 3x after greensky write off) as hard to cover for his poor management. 

And bonuses are going to blow across the board 

 

As someone at GS, I second this. People go to GS for the exit opps. It does not make sense to go here for any other reason. You get higher hours, less responsibility and lower comp compared to working at an EB. My analyst class hasn't even hit the 2-year mark yet and 70% of the class has already quit... 

 
Funniest

my girl has light blue panties. every time she slips them off, i promptly cream. not because of her, but because the light blue reminds of dj d-sol. ohh dj-solllll. 

 

The answer to why DJ Solomon still has the blessing of the board is because there lacks an alternative. The certain is better than the uncertain unless the uncertain’s potential payoff outweighs the lack of certainty. A solid number of potential successors have left over the past few years to pursue their own endeavors, and as of right now the only alternative to Solomon is Waldron, who’s very close to Solomon and is considered by the board to be someone who would largely be similar to Solomon’s leadership. Hence, why replace Solomon with Solomon 2.0 (with a level of uncertainty) when you can just stick with a certain Solomon?

 

Makes sense that Waldron is essentially Solomon 2.0.

But out of the partners who disagree with his approach, are there no prominent figures at the top whose viewpoints align somewhere in the middle of angry partners / DSOL? Or just highly unlikely for board to choose (and DSOL to support) someone meaningfully different from him and pivot the firm in a new direction (which I think most would say is much needed)?

 

seems like the place is going to crumble and everyone who’d be able to steer the sinking ship left already (Lemkau, Dyal, etc.)

 

Have the pleasure of knowing Ashok's family. Amazing person and absolutely humble family, especially considering his position. Dude is a math genius and was one of the youngest to make the firm hundreds of millions during the pre-Volcker days. Would be an absolute upgrade over DJ because of his natural intelligence.

He is really close to D-Sol though. Would be really cool if he became CEO though, could say I know the GS CEO like that lol

 

Both great picks. Ashok Varadhan has no baggage. Varadhan, Waldron, Esposito, Blankfein/Rubin are serious contenders. Waldron/Varadhan r close to DSol but whatever "baggage" they have (if any) is wrapped up. DSol & Donovan's are public knowledge.

 

Clients will hopefully remember this the next time they hire GS as buyside advisor. 

GS has been the bank I've worked with or across the most.  Many CEOs / founders can't stand them but their boards love them; understandably so because you can't knock their creds or the fact they have great investor connectivity.  

Don't know why you are being downvoted. Have seen that even when we have done smaller M&A/private placements/etc for a company. The CEO will ask how he can justify picking us (European BB) over GS to the board on more important items and that is already in a situation where we have delivered great results.

A lot of GS/MS/JP deals seem to be won because the board/c-suite won't be blamed if a process fails if they chose GS/MS/JP

 

"Hey I know, let's have our CEO make an Instagram account and post all of his DJing sets and travel Vlogs so our Analysts who work 100 hours a week and don't get vacations will find him relatable and feel like they have it really good to work under a guy who DJs in the Hamptons while they short-circuit at their desks"  

 

I'm also somewhat surprised that GS didn't pursue First Republic at all. In a different world, where Mr. DJ was trusted by his board and the partners, FRC would have been an absolutely perfect solution to Goldman's budding retail ambitions. 

 

FT Partners might be a hellish sweatshop but gotta recognize that Steve has mastered the game of selling piece of shit start-ups at inflated prices to mouth-breathing retards

 

How does this guy still have the top job? GS needs a CEO from S&T side like Lloyd or Rubin, the ones from M&A like Paulson or D-Sol are stinking up the place

 

Analyst 1 in IB - Cov

How does this guy still have the top job? GS needs a CEO from S&T side like Lloyd or Rubin, the ones from M&A like Paulson or D-Sol are stinking up the place

GS historically will promote within IBD to lead as CEO. As others have said, I don’t think Waldron is an upgrade, I think they need to look outside the firm

 

I'm just constantly surprised how CEOs like DJ and Handler think making themselves instagram retards will win them popularity.

They look like clowns and the juniors hate them for it as they fuck about while juniors get run into the ground.

Anybody pursuing GS after the over hiring in 2021, firing in 2022 and 2023 and the idiot in charge honestly deserves what they get. Idiotic behaviour.

London Sponsors M&A - EB
 

Could it be that the other meme creators are Jefferies employees?

 

No he's like Trump 2.0 for GS. 2 many burials with that guy. No way any body under VP would be happy. Lloyd or Varadhan are best.

 

very much so, but DJ was also one of his biggest mentors, and he still publicly defends DJ, so he’s not gonna stab DJ in the back

 

There’s really two simple causes to this mess (which were predictable):

1) Thin senior executive bench: Lloyd stayed around too long, and his succession planning was awful + most seniors know GS is in a tough spot going forward so what’s the point?

2) GS’ strengths have dissipated: They thrived on principal investing, structured credit and a highly levered BS —> all of this is basically gone (the first two are being entirely taken over by MFs who cornered the 1st rate talent in finance - GS no longer has the biggest roster of smart people in finance)

The broader issue is 2). GS was too slow to respond to the post-GFC world and didn’t move in any specific direction (BS like JPM, PWM like MS, or asset management). All three of these areas have been repeated time and time again by management as guiding principles, but all of them fell flat.

On top of that, GS no longer has the top talent in terms of middle management. Whoever was great in S&T moved to hedge funds, and whoever was great in IBD moved to private equity.

There might be some exceptions of course, but broadly speaking if you’re a highly ambitious professional in finance, GS is not the place to be (unless you’re an analyst looking to move to the buyside). There’s an exceptionally strong brand there that could be turned around, but it is starting to become a bit late to do it (not impossible, but it’s becoming increasingly difficult).