Goldman Sachs is about to lose over $ 260 million as some of the bank's biggest investments collapse.
The potential losses come mainly from investments in Uber and Avantor, according to Bloomberg. The two companies raised capital for more than $ 1 billion this year through a initial public offering (IPO).
Uber shares fell more than 30% in the third quarter, while Avantor lost nearly 15%. Goldman could lose more than $ 100 million from both of them.
Goldman's equity stakes are investments made with own money. The profits from these two businesses were one of the biggest sources of profit for the bank in the past.
Investments in companies such as Uber, Avantor, Tradeweb Markets and Headhunter Group helped support the bank's second-quarter earnings. The positions added more than $ 500 million in revenue, mainly generated by the Tradeweb jump.
Goldman CEO Stephen Scherr said those 4 investments represented 55% of the total portfolio, worth $ 2.6 billion.
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