Goldman Sachs in Talks to Acquire Northern Trust for $6 Billion

Goldman Sachs has reportedly held takeover talks with Northern Trust earlier this year as it seeks a large acquisition. The talks allegedly nearly resulted in a $6 billion deal. Northern Trust's stock price rose 3.5% in pre-market trading following the news.

Goldman Sachs (NYSE:GS) has reportedly held takeover talks with Northern Trust (NASDAQ:NTRS) earlier this year as the firm seeks a significant acquisition. The discussions, which nearly resulted in a $6 billion deal, involve a private-markets specialist named Cliffwater, according to a report by Semafor [1]. The talks with Cliffwater were advanced but ultimately fell apart due to pricing issues.

Northern Trust's stock price rose 3.5% in pre-market trading following the news of the potential acquisition. The company is currently in play after reports surfaced that Bank of New York Mellon (BK) had expressed interest in merging with Northern Trust in June [2].

Goldman Sachs CEO David Solomon is on the hunt for a "needle-moving" acquisition following the firm's failed venture into consumer banking and amidst the stock's all-time highs, up 47% from a year ago [1]. The firm is also exploring the world of low-fee ETFs, where it has faced challenges in growth.

References:
[1] https://seekingalpha.com/news/4469902-goldman-sachs-held-takeover-talks-with-northern-trust---report
[2] https://www.tipranks.com/news/the-fly/goldman-held-takeover-talks-with-northern-trust-amid-hunt-for-deal-semafor-says-thefly