Goldman Sachs will start marketing a new corporate-buyout fund of $5 billion to $8 billion, its first such fund since the 2008 financial crisis, the Wall Street Journal reported on Thursday.
Citing people familiar with the matter, the Journal said Goldman hoped to raise about $500 million from its employees and was aiming for an initial close by the end of the year.
The new buyout fund is smaller than prior ones, less than half the $20 billion Goldman raised in 2007 for GS Capital Partners VI, the Journal said. The company will contribute just a tiny slice of its own capital this time to comply with post-crisis rules meant to make banks safer, the Journal added, citing unidentified sources.
The West Street Capital Partners fund is named after Goldman’s New York City address to comply with a post-crisis rule that does not allow private-equity funds to bear the parent bank’s name, WSJ said.
Goldman was not immediately available for comment outside regular business hours.