Goldman Sachs Merchant Banking Overview

It's been awhile since anyone has given updates about GS's MBD division, especially in light of David Soloman's recent changes, so I was wondering if anyone could provide some updated information regarding the group's structure, recruiting, comp, prestige, etc?

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Comments (30)

Most Helpful
  • Prospect in IB-M&A
Feb 15, 2020 - 3:31am

I know their MBD team is separated into PE, PC and Real Estate Assets. Currently interviewing with their PE team. From what I hear, they are very prestigious across the board.

They are leveraging their scale more now as they have amalgamated with their SSG team etc

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  • Analyst 1 in IB - Gen
Apr 18, 2020 - 1:39pm

How would people typically describe the work at GS MBD PE investing? Is it a lot of co-invest or are they originating their own deals now?

Anyone know how they would stack up vs. Upper MM PE?

  • Intern in PE - Other
Apr 18, 2020 - 3:25pm

can't speak to MBD but I know a good chunk of GS co-investments are handled by the AIMS (alternative investments and manager selection) PE group inside CIMD so I think it would stand to reason that MBD is doing more of their own origination

  • Intern in IB-M&A
Apr 19, 2020 - 9:21am

i'm not sure but I also think a reason for the reshuffle was the fact that there's some law that forces a bank w/ an advisory practice will have restrictions on its merchant banking department => this explained why a lot of merchant banks either go down market for buyouts (MM/LMM) or down equity cheque (Minority / Co-invest)

Question: Is the new set up more conducive to traditional
buyout PE?

Apr 19, 2020 - 7:04am

The times where they only did co-investments are gone by now, so they operate pretty much as the other large cap /UMM names.

When you started you were able to do a rotation in the two teams, Private Equity and Private Debt, which I thought was quite cool and then you sticked with the team you preferred / that had a need. This was before the whole reshuffling within the whole GS Direct Investing platform under Sol, so not sure this is still the case.

Solid name like the others, but ceteris paribus I personally would not choose them over US MFs or Euro Large Cap names like Apax, Cinven, CVC, EQT, Permira (this does not take into account team fit and considerations like this of course).

Apr 22, 2020 - 4:41pm

above_and_beyond care to elaborate a bit on the reasons that you would prefer the other names over GS MBD?

I am curious to understand to understand what really sets them apart from the other names (especially in a European setting, but US also interesting). Does the fact that they are part of GS provide any significant benefits over being "independent" in your view apart from a strong brand name for fundraising?

  • Analyst 1 in IB-M&A
Apr 18, 2020 - 7:28pm

How would PE at this group compare to traditional MF's (KKR, TPG, BX) and UMM firms (CD&R, LGP) from a comp, prestige, and experience perspective?

  • Analyst 1 in IB - Gen
Apr 18, 2020 - 7:56pm

Also does anyone know what their returns look like?

May 13, 2020 - 5:35pm

Bump - interested in how their teams are structured. I understand that they divide into PE, PC, Real Estate, but for PE specifically, are their teams structured by industry / deal size? Could someone in their NYC office be working on a deal in various geographies?

The fool thinks himself to be a wise man, while the wise man thinks himself to be a fool.
  • 1
  • Associate 1 in PE - LBOs
May 13, 2020 - 10:30pm

From what I know (may be a year or two dated), associates normally have a "primary" industry that they spend say ~60% of their time on and then can be staffed on other industries the remaining ~40% of the time. Believe that over time you start to focus in more on one industry, but I don't think that officially happens until VP+

There are MBD teams in London and Asia as well, so unless it's a cross border deal, you'll likely be working on the geography your office is in.

  • Prospect in PE - LBOs
Dec 17, 2020 - 10:48pm

Hi there, do you have an idea of:

1. Working hours for London office

2. Summer intern class size

3. Offer rate

4. Culture (relaxed/stiff and formal(i.e. tie all the time)) and mix of backgrounds?

5. Sacking rate

Jun 29, 2020 - 8:25pm

would anyone have any idea which offices GS MBD does their healthcare stuff out of, whether it be private equity or private debt or growth capital, Thx?

Jun 29, 2020 - 8:33pm

Just to add to my post above, I am going to be applying for a summer internship and my background is in healthcare and would not want to put dallas as a location choice if all they do there is RE. I am guessing dallas is unlikely for healthcare while NY and SF could have healthcare groups?

Sep 14, 2021 - 12:47pm

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